Following its recent introduction of AI-powered solutions, RELEX Solutions, a supply chain and retail planning platform provider, emphasizes the significant benefits of harnessing this technology for the holiday shopping season.
The Philippines is renowned for its extensive Christmas celebration, beginning in the “ber” months with carols playing on radio stations and festive decorations adorning stores.
“As consumers leverage omnichannel to save up, Filipino retailers face challenges in manual inventory and promotion planning for both online and in-store,” said Donald “DJ” Felbaum, head of Sales for the Philippines at RELEX Solutions. “With the emergence of technologies like ChatGPT, retailers must consider artificial intelligence (AI)-powered solutions to streamline these processes and drive growth.”
AI-driven demand forecasting
According to RELEX Solutions, AI has the potential to transform retail operations by enhancing data quality through the integration of company databases and real-world insights. This customized and precise data foundation equips retailers with a clearer understanding of the potential impact of their data. Retailers can significantly improve various aspects of their operations, including precise demand forecasting, efficient replenishment strategies, and optimized promotions, ultimately leading to increased profits and reduced losses.
RELEX Solutions offers a demand forecasting solution that provides stores with insights into the products in demand at specific locations. By leveraging AI, retail chains can allocate the right products to the most suitable store locations.
A unified retail planning solution can help streamline operational costs by consolidating inventory data in a single centralized platform. This can significantly reduce discrepancies caused by disparate, manual forecasting methods.
E-commerce and retail stores
While e-commerce has become commonplace, many consumers still prefer in-store shopping for quality assurance. Consumers now compare prices both online and offline to find the best deals.
However, for retailers, determining prices and creating effective promotional offers can be challenging. The traditional approach of A/B testing promotions can sometimes lead to inefficient product and resource utilization. Since promotional planning is often carried out manually, there is a significant risk of unintentionally setting low-profit margins, ultimately diminishing overall profitability, even when in-store foot traffic increases.
Automation not only streamlines workloads but also offers a more accurate data analytics system, expediting store operations from the back end to the front stores.