Retail Merchandiser Volume 65, Issue 3 | Page 24

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AI doesn’ t just crunch old sales data; it learns from it. It pulls in inputs like local events, weather patterns, promotion calendars and even social trends. From there, it helps planners forecast what shoppers might want next week, not just what they bought last month. The result is a clearer view of demand, one that accounts for the kind of complexity retailers deal with every day.
Smoother moves, better timing
One of the biggest challenges retailers face is figuring out how much inventory to send and where to send it. Ship too much, you risk markdowns. Ship too little, you lose out on sales. AI helps strike that balance by creating a clearer picture of store-level demand and adjusting allocations in real time.
For example, a national apparel retailer recently started using AI-based planning tools to improve how it allocates and replenishes inventory across hundreds of locations. The company didn’ t just want to cut back on excess stock; it wanted to make sure stores had the right products in the right sizes at the right time. With AI in the mix, they began spotting patterns faster and
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