Streamlined supply-chain management
One of the advantages of running an e-commerce business is the capability to streamline supply-chain management and distribution.
By expanding the online product catalog, an online shop can reach new customers and generate more orders while maintaining low inventory costs because it can ship from the warehouse directly to the customer and no showroom-related extra costs are needed.
In such a scenario, the delivery time and the products availability play a big role when it comes to beat the competition and this makes the inventory optimization really challenging especially when managing large catalogs. Intuendi Machine Learning technology provides online merchants with the intelligence they need for achieving high sales volumes and margins while reducing the inventory costs.
SKU-specific service levels
Intuendi supports many e-commerce platforms and can deliver the benefits of its technology in a very few clicks: it can easily get the data from the online platforms and become the smart assistant for the inventory optimization process.
In order to reduce the inventory costs while still not missing any sales, an e-commerce business has to achieve high service levels for its bestsellers and find the optimized stock levels for the SKUs with a few sales per year.
Traditional methods do not offer acceptable performance on demand forecasting because they usually apply similar approaches to all products, regardless they have high or low sales volume. This simply doesn’t work for e-commerce and it is one of the main reasons for stockouts and excess inventory.
AI for e-Commerce
Intuendi smart forecasting engine is able to generate a world-class demand forecasting for every product, even for the ones with sporadic sales which only occurs a few times per year, by selecting the best forecasting method for each item and extracting some features from the sales history just like trends and seasonality factors.
In addition to this, Intuendi has the capability to consider the past stockouts events in order to improve the forecast accuracy by building a true potential future demand.
Then, Intuendi identifies all the products with a stockout risk and suggests the right amount to keep in stock in order to meet the future demand: this inventory optimization process reduces the probability of a stockout and prevents any extra costs coming from last-minute fast-shipping purchasing. And when the purchasing budget is limited, Intuendi budget optimization suggests the products to buy in order to achieve the highest margin on the future online sales.
The best is that Intuendi is a completely automated solution, so no effort or statistical skills are required to the end user. Just a few clicks for accessing its unique technology.