The retail landscape is rapidly transforming as consumers are demanding more information about products and options to purchase and mobile shopping is forcing retailers to transform to remain competitive.
The four critical components of a successful omni-channel:
- Inventory Visibility: Accuracy is power
- Web-Ready Products: Enhanced speed-to-market
- Predictive Customer Analytics: Anticipating based on past behaviors
- Fulfillment Strategy: Delivering on the promise to the customer
For the vendor, inventory accuracy and daily reporting are heightened requirements. The key challenge, it’s the “Hot” items. The inventory report is the “Allocation” for each merchant, which must not be pledged twice.
For vendors the Fulfillment Strategy will have the greatest impact. Fortunately, it means only incremental change to existing systems. Here are the changes to orders, with some impact upon Shipment Notices, Shipment Labels, and Invoices.
- Ship-to store, mark for a named customer
- Ship-to home, confirm delivery
- Ship-to-distribution center, but pack in singles
The merchants prefer ship-to-store, which provides them the opportunity to sell more items to the shopper during the visit. Ship-to-store does not benefit vendors.
What does this mean for you? If you improve faster, will you achieve as small competitive advantage with the merchant? Contact your DCS EDI specialist to discuss how we can help you ensure that your existing EDI system is ready to handle the changing retail environment. Additional information can also be found at GS1us.org.