实例探究 > What Are the Most Profitable Operating Hours for Our Stores?

What Are the Most Profitable Operating Hours for Our Stores?

公司规模

Large Corporate

地区

America

国家

United States

产品

APT’s Test & Learn®
Test & Learn for Sites

技术栈

Test-and-Control Analysis
In-Market Experimentation

实施规模

Departmental Deployment

影响指标

Revenue Growth
Customer Satisfaction
Productivity Improvements

技术

分析与建模 - 预测分析
功能应用 - 企业资源规划系统 (ERP)

适用行业

零售

适用功能

商业运营
销售与市场营销

用例

补货预测
零售店自动化

服务

软件设计与工程服务
系统集成

关于客户

The customer is a leading specialty retailer with a significant number of stores across various markets. The retailer experiences heavy in-store traffic on weekends and is focused on optimizing its operating hours to maximize profitability. The company is large, with over 1,000 employees, and operates in a competitive retail environment where customer convenience and operational efficiency are critical. The retailer is keen on using data-driven approaches to make informed decisions about store operations and has invested in advanced analytics tools to support this goal.

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挑战

Executives at a leading specialty retailer wanted to identify the optimal operating schedule for their stores. Given heavy in-store traffic on the weekends, management planned to open stores two hours earlier on Saturdays, but first wanted to understand the total profit impact of the change. Specifically, the client sought to understand if the extended hours would generate a sufficient increase in sales to offset the associated costs.

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解决方案

Using APT’s Test & Learn for Sites software, the client designed an in-market experiment to test the new hours in a representative subset of stores and measure the incremental impact on profit. The software compared 'test stores,' where the hours were changed, to customized groups of similar 'control stores,' that did not undergo hour changes, to isolate the incremental profit impact of the operating hour changes. APT’s rigorous test-and-control analysis showed that the extended hours led to an 8.4% ($210 per store) lift in Saturday gross profit throughout the test period. The software revealed that the lift in profit came primarily from the extra hours and only caused slight cannibalization of mid-morning profits. However, while there was negligible impact on weekday profit, the analysis identified a 1.1% ($28 per store) decline in Sunday gross profit. Accounting for this cannibalization of Sunday profit and the required $170 in additional labor/operating costs per store, extending hours would cause a $43 decline in profit per store on average.

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运营影响

APT software identified select stores in the network where the hour changes would have a positive impact.
The software automatically analyzed thousands of factors, such as market demographics and store attributes, to identify characteristics associated with higher performance.
In stores located in areas with lower income, larger households, and more competitors nearby, the extended hours would drive a large enough profit increase to have a positive net profit impact.
A network-wide rollout of the hours change would have caused a decline in profits, but by employing a Test & Learn® approach, the retailer limited implementation of the change to the stores predicted to respond best.
Targeting the operating hours change to the right stores made the program profitable and resulted in a $2.5MM incremental annual profit improvement.

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数量效益