Information sharing is a vital component of successful Scan-Based Trading (SBT). In any SBT relationship, the retailer always shares point of sale scan data with the SBT vendor. However, many SBT partners don’t share delivery data, since it’s not seen as necessary to the business or it's too difficult to coordinate.
We at iControl believe that the benefits of sharing delivery data will make this an increasingly critical part of the SBT process. With an easy-to-use, transparent platform like Harmony by iControl™, sharing delivery data is easy, and leads to more effective collaboration.
Here are five ways you can use delivery data to optimize your SBT partnerships:
1. Prepare for Holidays and Seasonal Trends
Delivery data can be used to keep top-selling items in stock for holidays or seasonal sales. iControl provides mutual visibility to perpetual inventory for both supplier and retailer, and provides warnings when store inventory is running low. Use these reports and notifications to keep stores in stock and customers happy!
2. Monitor Category Change and Customer Preferences
Is the product mix at stores changing? Monitor recent delivery data to see if new products are being delivered, and monitor whether the assortment reflects what customers want to buy. Tailoring the product mix to the store’s clientele is a great way to maximize sales. The market for Direct Store Delivery (DSD) goods is changing rapidly, and vendors and retailers need to remain active and responsive to customers to compete successfully with rivals.
3. Build Your Customer Base
The growing omnichannel retail space provides great opportunities for retailers and vendors to gain market share among younger consumers, who want flexibility in their shopping experience. It’s important for retailers that embrace online ordering and store pickup to make sure that items displayed on their websites or mobile apps are in stock.
Online consumers have a wide variety of options, and one or two negative experiences can push them to buy from a competitor instead. Once an online consumer is happy with their experience, they tend to lock-in to a specific service or retailer. Ensure online consumers become customers for life by having the items they want, when they want them!
4. Maintain Planogram Compliance
Although SBT vendors generally stock and face their own product, they may not always maintain the planogram that’s set up for the store and category. By keeping an eye on what’s being stocked at stores, it’s possible to assess how things look at the store level. In addition, goals can be set for planogram compliance so that stores that routinely have issues can have their supplier ordering and stocking adjusted to improve performance.
5. Manage Supplier Pickups
Find out which items are being picked up from stores, as well as which items items are being delivered. Generally, items that sell poorly will be picked up from stores at higher rates than items that sell well. Another important consideration is that drivers might use some stores to “warehouse” product, moving these items to other stores later. Keep an eye on pickups to make sure that deliveries are adjusted to each store’s needs. After all, picking up product not only incurs up-front costs, but also lost sales if the product was needed elsewhere.
It’s no longer feasible to make important decisions about SBT categories without knowing what’s being delivered to stores. Using a leading Scan-Based Trading solution like Harmony by iControl™ makes your decisions better informed and more effective.
Contact us to learn how iControl can improve data sharing between retailers and suppliers, and how Harmony by iControl™ can help you maximize your SBT sales and profits!
Topics: Scan-Based Trading Payments