Oracle Retail Category Management Planning and Optimization
1 DATASHEET | Oracle Retail Category Management Planning and Optimization | Version 1.00
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Oracle Retail Category
Management Planning and
Optimization Consumers are becoming more demanding as they shop retailers using
multiple channels. They expect a seamless shopping experience from all
buying channels, including buying online for delivery, curbside, or in-
store pick up, and they want to engage with retailers on their own terms.
In order to respond to this challenge, many retailers are building a
variety of store sizes and formats to take advantage of high traffic and
opportunistic locations, driving the need to deliver customer-centric
targeted assortments while maintaining the appropriate inventory to
meet demand. To achieve this, retailers are looking for the most
effective ways to empower their teams by leveraging the latest purpose-
built analytical capabilities while minimizing the total cost of ownership.
INDUSTRY BEST-PRACTICE METHODOLOGIES
The Oracle Retail Category Management Planning and Optimization solution uses
industry best practices to efficiently consolidate a vast amount of internal/external
data sources into an easy-to-consume format. This provides retailers with actionable
insights and recommendations managed at the national cluster, customer, vendor (or
brand), and store-specific level. This is accomplished by leveraging two distinct and
modular capabilities; Category Planning and Assortment Planning and Optimization.
CATEGORY PLANNING
Leveraging industry best practices, Category Planning combines data points from
multiple sources (transaction data, loyalty data, syndicated market data, consumer
panels, demographics, forecasts, consumer segment data, and competitive data) and
recommends formal category roles, strategies, and tactics. Recommendations are
based on consumer insights and/or product performance and provide retailers with
one version of the truth to be used in downstream assortment, pricing, promotion,
inventory, and space processes. Scorecards related to promotions, private label
products, and inventory effectively monitor performance and validate key initiatives
are tracking as planned.
ASSORTMENT PLANNING AND OPTIMIZATION
Providing multiple industry common approaches, Assortment Planning and
Optimization enables retailers to leverage multiple data inputs (internal/external 3rd
party) to create optimized customer-centric and targeted assortments. User-defined
objectives combined with embedded science and automation provides fact-based
‘smart’ assortment recommendations unique to the respective point of commerce
providing the ability to maximize customer satisfaction and overall category
profitability.
Key Benefits
Utilizes a combination of
purpose-built retail science
and automation to drive out
customer-centric and
targeted assortments
Provides a fact-based smart-
starting point; enabling users
to refine based on
category/store base
knowledge
Integrates and aligns
category and assortment
decisions with financial and
space targets/constraints
Leverages retail-focused
science-based inputs,
exclusively available via the
Oracle Cloud, to maximize
profit while increasing
customer satisfaction
Enables a 360 degree view of
market, customers,
competitors, and vendors
https://www.oracle.com/industries/retail/products/category-management/
LEVERAGE SCIENCE TO MAXIMIZE CUSTOMER
SATISFACTION
Oracle Retail Category Management Planning and Optimization provides the ability to
take advantage of purpose-built retail-specific science exclusively available with the
Oracle Retail Cloud software-as-a-service offerings.
Oracle Retail Advanced Clustering Cloud Service: Enabling a highly flexible and
dynamic clustering process, the Oracle Retail Advanced Clustering Cloud Service
provides Assortment Planning and Optimization with category-specific clusters to
create very targeted and localized assortments.
Oracle Retail Customer Decision Tree and Demand Transference Science Cloud
Service: The Oracle Retail Customer Decision Tree and Demand Transference Science
Cloud Service provides retailers with the ability to move beyond the traditional
assortment planning processes. Leveraging key inputs based on sophisticated data
mining capabilities, gaining insights on customer behavior patterns and product
preferences, retailers can improve the assortment planning process with:
Customer Decision Trees Science – Eliminate national influence and vendor
bias by creating and using Customer Decision Trees (CDTs) leveraging your
own customer data.
Demand Transference Science – Identify the incremental and substitutable
sales associated with each item within an assortment, optimizing the breadth
of an assortment as experienced by customer purchase preferences.
What-if Optimization – Execute multiple assortment simulations (add,
remove, swap) against current or planned assortments to determine the most
profitable and customer-centric assortment.
Oracle Retail Assortment and Space Optimization: The solution maximizes sales,
revenue, and profits while improving customer satisfaction by optimizing assortments
and facings to available space (to maximize total return on space). Leveraging inputs
like optimization goals, demand transference science, visual guidelines, and
inventory/ replenishment factors, retailers are presented with recommended shelf
fixture layouts.
FLEXIBILITY IN ADOPTION AND DEPLOYMENT
The Oracle Retail Category Management Planning and Optimization solution provides
the ability to take advantage of the most relevant planning features, leveraging the
configurable and upgradeable Oracle Retail Planning solution. Retailers are able to
define a clear approach to a successful implementation while having the ability to
apply additional functionality as business processes and trends dictate a change.
Learn more or request a 1:1 demo.
Key Features
Provides a best practice
methodology for category
management
Efficient consolidation of
internal /external data
sources, providing actionable
insights for a customer,
channel, and competitive
analysis
Define and communicate
category roles, strategies, and
tactics
Create and manage optimized
assortments at the national,
cluster, vendor/brand, and
store level
Seamlessly integrated with
macro and micro space
optimization solutions;
maximizing return on space
while reconciling with strategic
plans
Leverage science-based
approaches to create local
customer-centric assortments
Use Customer and Consumer
Decision Trees within the
assortment process for
validation
Application of SKU-level
Demand Transference Models
to predict SKU interaction;
enabling the creation of the
optimal assortment
Conduct ‘What-if Optimization’
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