Store Clustering, the process of grouping similar sales outlets based on store attributes, demographics or sale performance, is an integral part of the Retail Analytics and has a number of uses in Retail planning and execution including Assortment Planning, Pricing and Promotions Planning and Markdown Management.
This is the part of the pre-season planning and in-season management process that is often performed as an off-line step in statistical analysis tools or in spreadsheets, often by different people in the organization. With growing emphasis on building customer-centric product offerings, statistical store clustering is taking its place as the first step to ensure right products are placed at the right time at the right place. Therefore, a dynamic planning process needs to have this step integrated into the planning software so planners can evaluate different clustering strategies for individual categories as needed and leverage them in Assortment Planning instantaneously.
Multi-dimensional Store Clustering
As a part of Solvoyo Elevation Platform, Store Clustering offers a fast, user-friendly, multi-dimensional clustering tool that brings efficiency and ease into assortment localization process:
- Multi-dimensional clustering where users can select from a list of metrics related to sales, store capacity, price, store turn and store attributes to create store clusters based on statistical analysis
- Graphical and map-based displays to view stores in different clusters
- Segment statistics and store-level and KPI reporting
- Drag and drop capability for managing store groupings and outliers
- Creating store clusters tailored for specific product categories
- Seamless integration into Solvoyo Assortment Planning and Markdown Optimization