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CAPABILITY


Accenture Performance Optimizer

Accenture's Performance Optimizer software helps you achieve retail space optimization and product assortment optimization. Find out more.

Overview

Right Products, Right Place, Right Time
Do you have your customers’ attention? Can you keep it? Are you stocking what they want to buy—online and offline? Because customers have so many choices today, attracting and retaining them means optimizing your retail space, product assortment and online presence.

Create models and run performance analysis of your company’s products and their space with Accenture’s Accenture's Performance Optimizer software.

Hold Your Customers’ Interest
Look at customer and store segments and profiles with Accenture's Performance Optimizer. Who are your company’s target customers? Where do they shop? How can you deliver on their demands? A series of analytics helps to identify optimal store and category space for merchandising that meets the product needs of current customers and target consumers.

Develop and Deliver the Ideal Product Portfolio
Accenture's Performance Optimizer supports manufacturers in retail channel optimization, optimizing product portfolio and assortment for each class of trade. Using SKU rationalization, innovation assessments and cost-to-serve analysis, you have what you need to easily manage the complexity of a portfolio.

Features & Benefits

Product Features:

  • Customer Segmentation and Profiling. Automate store clustering by product segment. Measure the effectiveness of loyalty programs.

  • Store and Category Clustering. Add or delete items from a category. Adjust category space in existing aisle.

  • Demand Profiling. Review product attributes and analyze product interaction data.

  • Portfolio Optimization. Analyze incremental impact, strategic performance and business rules to help determine an increased profitable product assortment for a company’s portfolio.

  • Optimal Space and Assortment. Redesign an existing store or department. Create a new store prototype (larger or smaller). Determine online assortment and space.

Product Benefits:

Our solution can help you to:

  • In a single, scalable platform, help optimize demand synchronization for diverse retail operations, both online and offline. Increase market penetration, share, sales and profit, and long-term shareholder value.

  • Advance from proof-of-concept to self-enablement (such as new store formats), using modeling and activity-based costing to estimate an income statement for each combination of product and store.

  • Understand the relative performance of different groups of items with easy-to-understand charts and graphs.

Client Successes

Global Consumer Health Care Manufacturer: Creating a Healthy Brand Portfolio
This global consumer health care manufacturer has an incredibly complex portfolio with more than160 brands worldwide. To reduce the difficulty of managing so many different brands, this company engaged Accenture to develop a long-term solution. Accenture’s Performance Optimization Tool simulated various portfolio reduction scenarios and identified the potential financial impact. Ultimately, Accenture identified potential for up to £9m in gross profit improvement with only a 10 percent portfolio reduction.

Spanish Beer Manufacturer: Brewing Sales and Growth
To better understand what drove sales for various regions and demand segments, this Spanish beer manufacturer asked Accenture to step in with advanced optimization modeling software and capabilities. By determining the key attributes that drive consumer choices and weighting those attributes appropriately, the optimization process identified opportunities for 7.4 percent sales increase in non-alcoholic beers and 4.2 percent in alcoholic beers, while simultaneously identifying key distribution channels for increased growth.

Leading Global Specialty Retailer: Making Space for Success
A leading global specialty retailer was faced with redundant floor plans and lacked the resources and organization to support advanced space optimization analytics. Accenture developed an integrated business process and operations model that helped to add value through return on space reporting, performance management and other macro and micro space optimization analytics capabilities. The result was an estimated $130 million improvement in margin benefit over the next three years.

Major Consumer Paper Products Company: Cleaning Up the Portfolio
Accenture helped one major consumer paper products company meet its goal of reducing its ‘dry bath’ assortment by more than 20 percent in just one year. In fact, the analysis showed that the client could reduce its national portfolio size by more than 20 percent while sales would only decrease by an estimated 0.2 percent. Accenture’s recommended approach would save the client an estimated $29 million more in sales and up to $21 million more in profit for the current year when compared to the client’s current methodology.

Major North American Consumer Packaged Goods Manufacturer: Improving Inventory and Earnings
A major North American consumer packaged goods manufacturer recognized that its planning structure for organizing products at the retail shelf level was suboptimal. The company selected Accenture to help optimize eight major categories of products representing approximately $2 billion in sales. Accenture’s Performance Optimization Tool showed that the client could reduce the portfolio by more than 15 percent while maintaining the current sales level. The client is expected to realize an increase of an estimated $16 million in earnings and an estimated $8 million inventory improvement opportunity over the next two years.