January 13, 2010

Gross margin return on investment (GMROI)

GMROI is one of the most important metrics in the retail/supplier world because it allows you to understand both the velocity with which your inventory is turning and the return you are getting on your investment. GMROI is a measure of inventory productivity that shows the relationship between total sales and the gross profit you… Read more »

January 11, 2010

How to get a buyer to accept a forecast recommendation

Moving into 2010, most retail economists are predicting a continuation of the “do more with less” retail buying strategy. This will mean high fill rates, accurate forecasting, and proactive out of stock analysis will be critically important to maximizing sales. I would like to begin a discussion on the best practices for getting a replenishment… Read more »

January 11, 2010

Brighter Days Ahead for Retail in 2010

Retail economists now predict solid growth for 2010. The International Council of Shopping Centers projects annual sales will increase 3% to 3.5%, the biggest jump since 2006. “It’s a story of the turning of the corner for the retail industry,” said Michael Niemira, the group’s chief economist. “We are probably now outside of the recession,… Read more »

January 10, 2010

Avoiding Out of stocks

Brrr, it’s cold outside. I live in south Florida and we have been experiencing record low temps for well over ten days now. Last night it got down to 28 degrees at my house! I know-28 degrees would be a welcome heat wave for many places in the US right now, but down here this… Read more »

December 13, 2009

#edi852

Started a new category on Twitter for EDI 852 research and information. Follow rainmakergrp and watch for #edi852 to stay up to date on all things regarding point of sale data analysis, and specifically EDI 852. Topics will include how to best use EDI 852 for analyzing retail sales performance, on hand inventory forecasting and… Read more »

December 8, 2009

Using EDI 852 data to audit Planogram Compliance

Many of the vendors we work with have a specific planogram they agree to with a buyer on an annual or semi-annual basis. After reaching an agreement with the buyer on the planogram, the vendor estimates sales and then creates a production forecast based on the number of facings and estimated sales. The problem many… Read more »

November 25, 2009

Nordstrom to Spend $45 Million on Tech Upgrades in 2010

Nordstrom recently announced its plans to invest approximately $40 to $45 million in technology upgrades next year, maintaining its level of IT spend year-over-year. Over the past year, the luxury department store has been heavily focused on evolving its multi-channel business.  This focus has clearly paid off, since the luxury department store most recently reported… Read more »

November 24, 2009

The Conference Board: Consumers to cut back on gift spending

NEW YORK (Nov. 23) According to The Conference Board, U.S. households are expected to spend an average of $390 on Christmas gifts this holiday season, down from last year’s estimate of $418. “Consumers are approaching the holiday season very cautiously,” says Lynn Franco, director of The Conference Board Consumer Research Center. “Job losses and uncertainty… Read more »

November 19, 2009

POS analysis for strategic value

Several recent meetings with vendors has highlighted a growing trend – POS data analysis has been and continues to be an operations imperative, but vendors are increasingly finding strategic value in POS analysis. EDI 852 forms the foundation of the analysis with UPC and store level sales and on hand.  But looking beyond sell thru… Read more »

November 16, 2009

Walmart Point of Sale Data Reporting

If you are a Walmart vendor, you have access to a wealth of data via Retail Link. As a service provider, we work with a lot of Wal-Mart vendors, helping them to analyze the point of sale data made available by Walmart through Retail Link. Sometimes a vendor will ask us “If I have Retail… Read more »