Ship-From-Store Fulfillment
Company Size
1,000+
Region
- America
Country
- United States
Product
- APT Test & Learn for Sites
Tech Stack
- APT Test & Learn for Sites
Implementation Scale
- Enterprise-wide Deployment
Impact Metrics
- Customer Satisfaction
- Productivity Improvements
- Revenue Growth
Technology Category
- Analytics & Modeling - Predictive Analytics
- Functional Applications - Inventory Management Systems
Applicable Industries
- Retail
Applicable Functions
- Sales & Marketing
- Warehouse & Inventory Management
Use Cases
- Inventory Management
- Predictive Replenishment
Services
- Data Science Services
- System Integration
About The Customer
A leading retailer with several hundred stores across the U.S. needed to understand how its ship-from-store fulfillment program affected sales. The retailer aimed to decide which stores, if any, should continue to fill online orders with its inventory. The client used APT’s Test & Learn for Sites to measure the impact of ending ship-from-store fulfillment in a subset of its stores, revealing that removing the program drove a 4% lift in in-store sales without impacting online sales. While the change drove a positive sales lift, analysis showed that removal of the program also caused inventory build-up for select items. With an understanding of how the program impacted sales and product inventory levels, the retailer adapted its ship-from-store strategy, leading to incremental sales and less inventory build-up.
The Challenge
The company traditionally used its in-store inventory to fulfill online orders, but management thought this ship-from-store program may actually be hurting sales by causing out of stocks for in-demand products.
The Solution
The client used APT Test & Learn for Sites to measure the incremental impact of ending its ship-from-store fulfillment program. Using the APT software, the retailer designed a test in which it compared the performance of a select group of 'test' stores where the program was removed, to similar 'control' stores that continued to fill online orders with store inventory. Results of the analysis revealed that in the period after ship-from-store was discontinued, test stores experienced a 4% sales lift and online sales were unaffected on average, confirming the hypothesis that out of stocks were causing sales decline. While the overall results of the test were positive, tracking performance for three months showed that, without ship-from-store, some locations experienced build-up of inventory for certain products. The software automatically segmented results, revealing which products experienced build-up and enabling the retailer to refine the ship-from-store program by limiting online order fulfillment to those specific products.
Operational Impact
Quantitative Benefit
Case Study missing?
Start adding your own!
Register with your work email and create a new case study profile for your business.
Related Case Studies.
Case Study
Improving Production Line Efficiency with Ethernet Micro RTU Controller
Moxa was asked to provide a connectivity solution for one of the world's leading cosmetics companies. This multinational corporation, with retail presence in 130 countries, 23 global braches, and over 66,000 employees, sought to improve the efficiency of their production process by migrating from manual monitoring to an automatic productivity monitoring system. The production line was being monitored by ABB Real-TPI, a factory information system that offers data collection and analysis to improve plant efficiency. Due to software limitations, the customer needed an OPC server and a corresponding I/O solution to collect data from additional sensor devices for the Real-TPI system. The goal is to enable the factory information system to more thoroughly collect data from every corner of the production line. This will improve its ability to measure Overall Equipment Effectiveness (OEE) and translate into increased production efficiencies. System Requirements • Instant status updates while still consuming minimal bandwidth to relieve strain on limited factory networks • Interoperable with ABB Real-TPI • Small form factor appropriate for deployment where space is scarce • Remote software management and configuration to simplify operations
Case Study
How Sirqul’s IoT Platform is Crafting Carrefour’s New In-Store Experiences
Carrefour Taiwan’s goal is to be completely digital by end of 2018. Out-dated manual methods for analysis and assumptions limited Carrefour’s ability to change the customer experience and were void of real-time decision-making capabilities. Rather than relying solely on sales data, assumptions, and disparate systems, Carrefour Taiwan’s CEO led an initiative to find a connected IoT solution that could give the team the ability to make real-time changes and more informed decisions. Prior to implementing, Carrefour struggled to address their conversion rates and did not have the proper insights into the customer decision-making process nor how to make an immediate impact without losing customer confidence.
Case Study
Digital Retail Security Solutions
Sennco wanted to help its retail customers increase sales and profits by developing an innovative alarm system as opposed to conventional connected alarms that are permanently tethered to display products. These traditional security systems were cumbersome and intrusive to the customer shopping experience. Additionally, they provided no useful data or analytics.
Case Study
Ensures Cold Milk in Your Supermarket
As of 2014, AK-Centralen has over 1,500 Danish supermarkets equipped, and utilizes 16 operators, and is open 24 hours a day, 365 days a year. AK-Centralen needed the ability to monitor the cooling alarms from around the country, 24 hours a day, 365 days a year. Each and every time the door to a milk cooler or a freezer does not close properly, an alarm goes off on a computer screen in a control building in southwestern Odense. This type of alarm will go off approximately 140,000 times per year, equating to roughly 400 alarms in a 24-hour period. Should an alarm go off, then there is only a limited amount of time to act before dairy products or frozen pizza must be disposed of, and this type of waste can quickly start to cost a supermarket a great deal of money.
Case Study
Supermarket Energy Savings
The client had previously deployed a one-meter-per-store monitoring program. Given the manner in which energy consumption changes with external temperature, hour of the day, day of week and month of year, a single meter solution lacked the ability to detect the difference between a true problem and a changing store environment. Most importantly, a single meter solution could never identify root cause of energy consumption changes. This approach never reduced the number of truck-rolls or man-hours required to find and resolve issues.
