ARC — Atlas Retail Consultants: Merchandise & Assortment Planning

The back of a cigarette packet.

This is typically where you find many retailers' plans.

Contrary to what many software vendors might have you believe, merchandise planning isn't all about technology. It is, however, about getting the approach and process right. When handled effectively it forms one of the cornerstones of successful retailers. Not getting it right could leave you disastrously over or under stocked, and with many other problems that directly impact your profits.

Effective merchandise planning enables you to analyse and manage the potential growth of the business in a controlled and integrated way. Ensuring that sales increases you've planned for your product can actually be supported by the stores, for example, is something that all retailers should ensure.

How long you spend planning, and the level of detail that you plan to entirely depends on the business resources and approach. Some companies find that creating monthly category sales, stock and intake plans provides a sufficient framework to determine the ideal commitment levels. Experienced buyers can then source a credible, attractive range within these limits with little additional input.

However other retailers prefer to develop an assortment plan that defines which products are sent to which stores help them preview and assess the range that each store will present. Crucially this is done before placing any purchase orders and, additionally, the retailer can make sure these tie back to the high level growth plan.

Whichever approach you take, merchandise planning isn't the black art that it can often seem. From our broad experience in planning with leading retailers and brands, we've seen what works and what doesn't. So whether it's by reviewing your open to buy levels against the industry, or suggesting how to build an assortment plan, we can help you deliver what will work for you.

Examples of just some of the ways we've helped clients can be found here.