Retail Merchandising Software

What is Retail Merchandising Software?

Retail merchandising software is a tool which retailers can use to get their inventory plan right and strike the correct balance between categories and assortments. It enables retail management to set the financial targets to which merchandisers and planners have to work, allows the review of target achievement and creates open-to-buy budgets.

The software works by analyzing previous sales performance and building core categories and assortments in line with retail management’s financial objectives, while taking into account factors such as geographical and seasonal variations, fads, fashions and staples.

Retail merchandising software also provides the boundaries within which merchandisers and planners plan categories and assortments across store grades, using their knowledge of the business and the buying personas of customers in order to optimize the inventory in each store.

The Benefits of Retail Merchandising Tools

retail merchandising software

Retail merchandising tools are effective, easy-to-use solutions that help retailers manage their business without being exposed to tedious, low-level details. With an interactive view of the product hierarchy, retail merchandising tools allow retailers to lock plans at specific levels and adjust plans based on sales performance.

Being able to see the financial targets allows merchandisers and planners to track how much is available to spend on further inventory, making sure that the right level of stock is available to meet customer demand and avoid stock-outs, while other features within the retail merchandising software prevents overstocks and the necessity to initiate a markdown process that would damage profitability.

Whereas it may be possible for individual departments to make purchase and markdown decisions without retail merchandising tools, the software solution can also forecast the impact that individual departmental actions would have on the performance of other departments to avoid cannibalization and optimize performance across all categories.

Selecting the Best Retail Merchandising Solution

The most important function of any retail merchandising solution is the flow of information between management and departments. Merchandisers and planners must be able to see the overall financial objectives in order to operate within them, while management must be aware of inventory spend within the cash flow cycle.

A retail merchandising solution should also be sufficiently versatile to forecast the impact when complimentary products are introduced or removed - or when the allocation of store space is increased or decreased - and help retailers obtain a balance between categories and assortments in their inventories in order to attract customers and maximize sales.

By being able to provide all parties with projected stock outs or over-stocks, the best retail merchandising solution will advise management to either approve additional purchase orders or authorize markdowns in order that store inventory matches product demand and that financial objectives are met.

JustEnough’s Retail Merchandising Software

JustEnough’s Retail Merchandising software allows for the incorporation of key metrics into the planning process - including inventory, channels, sales, time periods and customer preferences. The result of this is that retailers achieve an optimized balance between categories and assortment to maximize sales and margins.

Our Retail Merchandising solution fulfill all the criteria mentioned above to be a suitable solution for almost any retail business, and further enhance the merchandising planning process by including functions which encourage use and promote cooperation between departments including:

  • An Excel-like interface which drives quick user-adoption and increases visibility.
  • End-to-end visibility allowing users to easily adjust plans and forecasts due to changes in demand that affect inventory turns and margins.
  • A management-by-exception function allows users to apply their knowledge of the business to improve the decision making process and enhance productivity.
  • A rollup feature generates data relating to purchasing, sales, revenues and margins which can then be aggregated in order to monitor performance across categories and locations.

Additional Benefits of JustEnough’s Retail Merchandising Solution

JustEnough’s Retail Merchandising software can be used OnSite or OnCloud to achieve the following objectives:

  • Drive merchandising and planning from one set of financial objectives to increase the likelihood of successfully meeting those objectives
  • Establish the optimum balance between sales and inventory - and within the inventory, the right balance between categories and assortments
  • Maximize sales opportunities and avoid potential losses from over-stock and stock-out scenarios with early warning signals
  • Respond faster to changes in demand and control inventory spend more effectively with visible open-to-buy budgeting
  • Increase collaboration between departments with open visibility, resulting in improved overall performance

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