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Research Findings: Retailers Struggle to Understand New Technologies' Role in Finding Right Product Mix


News provided by

RSR Research

10 Oct, 2012, 09:00 GMT

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MIAMI, Oct. 10, 2012 /PRNewswire/ -- Retail Systems Research, LLC has released findings from its Optimizing Assortments to Reinvigorate Retail: Benchmark 2012. The report, based on a survey of 96 retailers, reveals a drastic difference in the perceived value of new merchandising tools and retailers' understanding of how they can be effectively used to improve the product mix they put in front of increasingly-empowered consumers. The research is available for free download.

Key Findings include:

  • Most merchants place a similar value on new merchandising tools – regardless of size or sales performance. However, understanding of these tools varies drastically; only one third of mid-market retailers ($50 million - $999 million in annual revenue) report a solid understanding of modern merchandising tools and techniques.
  • While out-of-stocks and inventory performance remain top-of-mind (particularly for large retailers and those who sell fast moving goods), retailers' concerns about understanding customer preferences - and their own ability to respond to those preferences with new ideas about pricing and promotions - have become their top business challenges.
  • 34% of all respondents plan to optimize their assortments against new key customer segments in the coming year. Another 24% plan to include initial price optimization in their processes in 2013, and 22% will incorporate promotion optimization.
  • Winners continue to enjoy gross-margin improvements, but laggards are feeling the pain of over-promotion and inventory imbalances.

"Optimizing Assortments to Reinvigorate Retail" contains analysis of the business drivers, opportunities, and organizational constraints surrounding new systems and practices being used in retail merchandising. The report is part of RSR Research's ongoing efforts to provide market intelligence on retail technology trends and can be downloaded here:

http://www.rsrresearch.com/2012/08/08/optimizing-assortments-to-invogorate-retail-benchmark-report-2012/

About RSR Research: Retail Systems Research ("RSR") is the only research company run by retailers for the retail industry. RSR's services include benchmark reports covering the state of retailer technology adoption, custom research and advisory services. To learn more, visit www.rsrresearch.com.

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