1 DATASHEET | Oracle Retail Assortment Planning

Version 1 Copyright © 2022, Oracle and/or its affiliates

Oracle Retail Assortment

Planning Cloud Service

In today’s environment of intense competitive pressure, channel

blurring, and increased access to information and shopping options –

such as channel, fulfillment, and transaction methods – retailers are

finding it increasingly harder to create engaging customer-inspired and

targeted assortments that drive customer loyalty while increasing sales,

margin, and return on investment.

Research continues to show compelling assortments as a key driver of

obtaining and retaining customer loyalty. Oracle Retail’s consumer study

found that 53% of global consumers feel that new and exciting products

and assortments with personalized offers is important for them to

continue shopping with a retailer. Developing strong and new

assortments continues to be the key for retailers to compete in this

increasingly complex industry.

MAXIMIZE BUSINESS RESULTS WITH ASSORTMENT

PLANNING

In order to remain connected to customer preferences and deliver desired

assortments at a fast fashion pace, investment in modern planning applications is

required. Oracle Retail provides an integrated, single view of the enterprise, enabling

retailers to innovate with speed and scale. With Oracle Retail Assortment Planning

Cloud Service, retailers can develop authentic and loyal customer relationships by

delivering the right product to the right fulfillment location.

Assortment Planning provides retailers with a visual, end-to-end workflow to define

and execute local market assortments, improve the conversion of traffic into sales,

and increase customer satisfaction. This is done while increasing gross margin and

return on investment through item-level visibility and the ability to plan and manage

this complexity in a user-friendly and cost-reducing manner.

OPTIMIZE ASSORTMENT STRATEGY AND CREATION

Oracle Retail Assortment Planning leverages embedded artificial intelligence

science and automation to provide an effective assortment strategy to maximize

return on inventory investment. By factoring in last year or last assortment trends

and attribute mix, style-color performance by location, and one-off and special

buys, this solution provides a recommended rate of sale and target options count

for merchants and planners to utilize as a benchmark as they work with design

teams and go to market.

Demand transference logic leverages artificial intelligence to forecast the effect on

sales of all the items in the assortment when items are added, removed, or

Key Benefits

 Solves the industry’s need for a

smart, yet simple assortment

strategy and lifecycle management

tool to deliver compelling fast

fashion assortments

 Reduces categories without

sacrificing revenue

 Improves margins and sell-through

 Improves accurate demand across

the life-cycle of the assortment

 Reduces markdowns and increases

profits

 Maximizes return on inventory

investment

 Provides decision support and

continuous visibility into sales,

inventory, and profits

https://www.oracle.com/industries/retail/research/consumer-research/ https://www.oracle.com/industries/retail/planning-optimization/products/ https://www.oracle.com/industries/retail/planning-optimization/products/

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swapped from the assortment. Demand transference enables the planner to try

out several different assortments to find one that best meets the goals of the

assortment. Demand transference uses the item similarity score, assortment

elasticity, and attribute weights as key drivers to determine the profitable items.

The inclusion of sophisticated and intelligent logic allows retailers to complete

their assortments quickly and effectively – allowing for more time for collaboration

to develop creative innovation to increase in-store and online traffic growth.

Coupled with a visual plan view and capabilities and a simplified business process,

retailers are able to effectively make informed decisions when creating an optimal

assortment while understanding the overall impact that it will have on the floor set

and customer experience.

REACT TO IN-SEASON TRENDS AND OPPORTUNITIES

Oracle Retail Assortment Planning Cloud Service’s in-season business process

provides planners with the ability to quickly and effectively react to season and to-

date actuals and trends with exception management. With one complete version of

the truth through a common business process and calculations and smart starting

points, planners are able to easily review and update sales, promotions, and

markdown plans.

The solution also helps retailers to anticipate and proactively manage exceptions

through standard real-time alerts and an interactive user-tailored exceptions

dashboard, to ultimately highlight and focus a planner’s attention on key areas. The

solution supports the entire lifecycle of an item, within the context of the sales,

inventory, and keep/add/drop assortment planning decisions to derive an ideal exit

and carryover strategy.

ORACLE CLOUD INFRASTRUCTURE

All Oracle Retail Analytics and Planning cloud services are deployed as cloud-native

Software-as-a-Service solutions within Oracle Cloud Infrastructure (OCI) upon

Oracle’s Autonomous Data Warehouse, and are based upon an architecture and

technology stack that is optimally engineered for rapid, low-cost deployments and

exceptional performance and scalability, and the highest levels of system availability

and security - from storage to scorecard.

ORACLE RETAIL AI FOUNDATION

Core retail AI and machine learning (ML) powers all Oracle Retail Analytics and

Planning cloud services. For example:

Forecasting Engine - Provide an intelligent starting point for your planners, increasing

automation and accuracy. Move to a more touchless and exception management

planning process.

Customer Segmentation - Group customers based on attributes, behaviors, and

transactions to tailor offers, pricing, and assortments accordingly, incorporating

previously hidden patterns in your data.

Advanced Clustering - Cluster your stores based upon traditional approaches of

volume, square footage, region, etc., or leverage machine learning techniques to cluster

stores based upon similar selling patterns, truly creating a customer-centric assortment.

Profile Science - Determine the best size ratio for your buys by understanding the true

demand of your sizes while considering stock-outs.

Features

 Create and define assortment

strategies based on trend and

customer and attribute preferences.

 Increase profits with proactive in-

season item management and

exception-driven processes.

 Simplify decision-making through

embedded AI, and predictive

assortment recommendations.

 View planned assortments, just as

customers would experience in-

store.

 Increase accuracy and reduce

markdowns through reconciliation

of bottom-up item plans to top-

down financial plans, preventing

overstock experiences in-store.

 Increase return on investment with

weekly receipt flow visibility

 Embedded Retail AI Foundation,

powering Oracle Retail Demand

Forecasting Cloud Service with:

o Forecasting Engine

o Customer Segmentation

o Advanced Clustering

o Profile Science

o Attribute Extraction &

Binning

o Customer Decision Trees

o Demand Transference

o Affinity Analysis

o Innovation Workbench

 Further extensibility with:

o Oracle Retail Home

o Oracle Analytics

o Oracle Application Express

o Oracle REST Data Services

o Oracle Machine Learning

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Attribute Extraction and Binning - Extract item attributes from free-form descriptions,

correcting short forms, misspellings, and other inconsistencies, and apply them to

Demand Transference, Customer Decision Trees, Advanced Clustering, and more.

Customer Decision Trees - Understand how your customers are shopping your

assortments to drive attribute-based alternate hierarchies and effectively plan your

assortment the way your customer shops.

Demand Transference - Understand how unique your items are and the incremental

revenue that item brings to determine the most optimal assortment for your customer.

Affinity Analysis - Determine how items interact with each other to drive a more

effective promotional strategy within your financial planning process.

Innovation Workbench - Leverage open source along with your data science team to

create your own AI and ML models. Utilize the language of your choice with

Jupyter/Zeppelin notebooks.

ORACLE RETAIL HOME

Oracle Retail Home is a single access point, to simplify a user’s interactions with the

data and applications that are most relevant to their roles, and to better empower them

to anticipate informed

actions, and to inspire

engagement.

Based on a robust and

flexible portal

framework, Retail Home

is intended first to

provide timely and role-

specific high-level

insights, and second to

enable selectively

drilling into relevant

applications for more

details.

ORACLE ANALYTICS

Oracle Analytics can be used to generate and consume analytics from Oracle Retail AI

Foundation data, and in turn can also surface dashboards to Oracle Retail Home.

Oracle Analytics is a comprehensive platform that parlays data into information to

provide business insights, federating a broad array of features to suit business users,

power users and data scientists:

Governed Self-Service Augmented

 Corporate Dashboards  Data Preparation  Natural Language Processing

 Pixel Perfect Report  Data Visualization  Voice and Chatbot

 Semantic Models  Storytelling  Data Enrichment

 Role-based Access Control  Sharing and Collaboration  One-Click “Explain”

 Query Federation  Mobile Apps  Adaptive Personalization

The Oracle Retail Analytics and

Planning family of cloud services

includes:

 Oracle Retail AI Foundation

 Oracle Retail Insights

 Oracle Retail Assortment and Space

Optimization

 Oracle Retail Promotion and

Markdown Optimization

 Oracle Retail Offer Optimization

 Oracle Retail Merchandise Financial

Planning

 Oracle Retail Assortment Planning

 Oracle Retail Demand Forecasting

 Oracle Retail Inventory Optimization

https://video.oracle.com/detail/video/5828487828001

Beyond the extensibility afforded by the Oracle Retail AI Foundation’s Innovation

Workbench, Oracle Analytics, and Oracle Retail Home, also included are Oracle Data

Store, Oracle APEX, and Oracle REST Data Services.

ORACLE DATA STORE AND APPLICATION EXPRESS

Oracle Retail Data Store can supply data for Oracle Application Express (APEX) apps

and Oracle REST Data Services, which both are included. APEX is a low-code

development platform that enables you to build scalable, secure enterprise apps with

world-class features that can be deployed anywhere.

Developers can quickly develop and deploy compelling apps that solve real problems

and provide immediate value using APEX. You won't need to be an expert in a vast

array of technologies to deliver sophisticated solutions. Focus on solving the problem

and let APEX take care of the rest.

ORACLE REST DATA SERVICES

Oracle REST Data Services bridges HTTPS and your Oracle Database, providing,

among other things, a REST API, SQL Developer Web, a PL/SQL Gateway, SODA for

REST, and the ability to publish RESTful Web Services for interacting with the data and

stored procedures in your Oracle Database.

ORACLE MACHINE LEARNING

Oracle Machine Learning supports data exploration, preparation, and machine

learning modeling at scale using SQL, R, Python, REST, AutoML, and no-code

interfaces. It includes more than 30 high-performance in-database algorithms

producing models for immediate use in applications.

By keeping data inside the database, organizations can simplify their overall

architecture and maintain data synchronization and security. It enables data scientists

and other data professionals to build models quickly by simplifying and automating

key elements of the machine learning lifecycle.

Request a 1:1 Demo

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