Consistent with our mission for helping retailers compete more effectively, we recently announced OmniChannel Demand Management as a new class of retail applications uniquely designed to support omnichannel retail .The need for more dynamic pricing and granular merchandise intelligence has never been greater. Read our white paper.
What is OmniChannel Demand Management (ODM)? Omnichannel demand management describes an “evolved” set of innovations which help retailers analyze cross-channel consumer demand and competition and make integrated decisions for price, promotion, product and channel.
Why is ODM necessary? As a result of online transparency – enabled by mobile/online technology – retailers face increased competition and dramatically different shopping behavior.
Why now? In response to the increased competition, retailers have engaged in broad price matching, putting profits at risk, unnecessarily and unsustainably.
What are ODM’s benefits? Retailers can determine where they must compete, protect their price image and retail brand and generate profits strategically.
What’s new with ODM?
- One omnichannel view. Measure how demand transfers across products and channels.
- Know where demand is coming from. Model demand at the product attribute level (not SKU-level).
- Know where competition is coming from. Measure impact of competitive prices on your Sales.
- Leverage your online channel. Model online demand online by analyzing clickstream & price.
- Protect your price image. Optimize prices consistent with rules for competition, margin, etc.
- Enterprise consistency. One platform for all channels
What technologies underpin ODM? Big data analytics, evolved price optimization and demand models, automated retail price management, “exception-based” merchant alerts and more, all designed to provide more precision, transparency and speed in developing sustainable merchandise strategies.
It is a tumultuous time for retail and yet a fascinating opportunity for retail innovation. The current uncertainty around how to compete in retail today motivates its players to seek information[i] and evaluate alternatives, as it has in every cycle of innovation. We believe retail technology is ripe for re-invention and demands an evolved set of tools. As pioneers in demand management, we are excited to bring our clients a single omnichannel demand management platform, offering a data-driven approach to pricing and merchandising strategy and some much needed “relief” for the competitive onslaught in progress.