Maximize Product Availability While Protecting Margins with AI Inventory Optimization

Tl;dr: This case study shows how Tannico increased product availability to 94% while scaling its catalog and protecting margins through AI-powered inventory optimization software, AI inventory management and product availability optimization.

Tannico, the world’s largest Italian online wine shop, has become a global leader in food & beverage tech by offering over 15,000 SKUs, fast delivery, and exceptional customer service. Customers rely on Tannico for speed, selection, and reliability, making product availability a critical factor in sustaining growth.

By 2018, leadership recognized a strategic challenge: expanding the catalog and in-stock products while maintaining extremely short shipping times without inflating inventory costs or risking margins.

Co-Founder Cristiano Pellegrino led the initiative to improve service levels while keeping stock levels efficient. Tannico needed a data-driven approach to balance availability with sustainable inventory investments.

The Inventory and Availability Challenge

Tannico faced the following hurdles:

  • Risk of stockouts on popular SKUs, especially during seasonal peaks
  • Constraints on extra-stock to avoid margin erosion
  • Difficulty scaling catalog size from 10k to 15k SKUs without compromising delivery promises
  • Maintaining customer trust through reliable fulfillment

The core challenge was ensuring high product availability while controlling overstock and protecting profitability.

The AI-Powered Solution

Tannico implemented Intuendi’s AI-powered demand planning and inventory optimization software. The approach included:

  • Advanced demand forecasting accounting for seasonality, promotions, and customer behavior
  • SKU-level recommendations for optimal stock quantities
  • Top-down planning to guide overall inventory investment efficiently
  • Insights for buyers to prioritize high-demand SKUs while limiting extra-stock

“The secret of growth was to guarantee, for more and more products, the quality and delivery times for which our customers appreciate us and choose Tannico every day.”

— Marco Magnocavallo, CEO and Founder

By embedding predictive insights into daily planning, Tannico kept high-demand SKUs in stock while avoiding excess inventory, sustaining speed, service, and margins.

The Results: Scaling Availability Without Margin Loss

  • Catalog size grew 50% from 10k to 15k SKUs
  • Units in stock increased by 89% year over year
  • Product availability for immediate delivery rose from 88% to 94%
  • Enabled more efficient purchasing while maintaining high service levels and profitability

The Advantage Gained

Through visionary leadership and data-driven planning, Tannico transformed inventory management into a competitive advantage. The company now delivers more products, faster, without over-investing in stock, delighting customers and reinforcing its market leadership.

Written by
 Jacqueline Tanzella

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