Product allocation represents a retailer’s last chance to ensure that items their consumers want to buy are available in the right store or channel, at the right time and for the right price. That means that they should execute carefully laid merchandising and assortment plans with allocation strategies that are just as pensive.
The following recommendations are outlined in this free whitepaper to help retailers realize fewer product markdowns and increased sales with better allocation management:
- Use demand to drive allocations
- Think locally, get rid of store clusters
- Adopt a push-to-pull inventory replenishment approach
- Hold some inventory back to accommodate changes in demand