1 DATASHEET | Oracle Retail Assortment and Space Optimization Cloud Service | Version 1.00

Copyright © 2020, Oracle and/or its affiliates

Oracle Retail

Assortment and

Space Optimization

Cloud Service

Today’s consumers are becoming more demanding as they shop multiple

retailers and expect unique and tailored shopping experiences. However,

retailers are struggling to keep up with the changing needs of their core

customer base as well as meeting the needs of new strategic customer

base and markets, as they look to preserve and expand their market share.

The result is customers not finding items in their shopping list translating

to lost sales and demand shifting to competition as well as low on-shelf

inventory productivity.

Some retailers are responding to this challenge with localized

assortments; however the reality of varying store formats and store sizes

makes it challenging to execute these localized assortments in an efficient

and profitable manner. Planogram automation tools help reduce the

operational complexity, but do not optimize the planograms to meet

customer specific demand for each store or cluster.

Improve Customer Satisfaction While Optimizing

Return on Space

Oracle Retail’s Assortment and Space Optimization Cloud Service allows retailers to

optimize their assortments to store and cluster specific needs to maximize return on

space, sales, and gross profit while maintaining visual merchandising standards and

supply chain considerations. The solution enables retailers to improve customer

satisfaction by optimizing assortment, placement, and facings for the available space.

By leveraging key inputs including optimization goals, demand transference science,

visual guidelines, and inventory/replenishment factors, retailers are presented with

recommended optimized shelf display that can be leveraged in downstream

execution processes.

Ability to Leverage Demand Transference Science

When paired with the Oracle Retail Customer Decision Tree Science and Demand

Transference Science Cloud Service, retailers are able to use item-level demand

transference in their calculations and planning. This ensures the right assortment mix

for each planogram size, removing duplication in assortments where necessary while

offering variety in inventory where needed.

Key Benefits

 Optimize assortments to

available space to

maximize planogram

performance, return-on-

space, sales, revenue and

profits while improving

customer satisfaction

 Deliver the right

assortment for each store

 Eliminate excess on-shelf

inventory, minimize stock

out rates

 Creation of assortment

and facing

recommendations to

maximize profits while

balancing supply chain

constraints, business

rules and visual

merchandising standards

 Fully productized

optimization science

available exclusively on

the Oracle Cloud

Dynamic Creation of ‘Space Clusters’

Leveraging available fixture data, the Oracle Retail Assortment and Space

Optimization Cloud Service dynamically creates store clusters (space clusters) with

common fixture dimensions. This enables the retailer to optimize assortments for

all stores with similar space for the category or assortment-mix.

Conduct Macro-Space Optimization ‘What-if’ Analysis

Dynamically manage and assess the impacts of adding and/or removing fixture

space from a particular store or store group. The Oracle Retail Assortment and

Space Optimization Cloud Service provides the retailer with the ability to conduct

‘what-if’ analysis by adjusting fixture lengths during an optimization run to visually

review, compare and validate results. This scientific insight is extremely effective as

teams plan and conduct store projects to re-allocate space to the planograms for

maximum profit. Prior to approving optimization results for downstream execution,

retailers are able to review shelf previews; assessing variation from current or

historical planograms as well as confirm recommended results align with

expectations. Updates to the respective shelf preview may be made real-time with

forecasted results being updated in a real-time manner.

Lower Total Cost of Ownership with Cloud Services

Oracle Retail Assortment and Space Optimization Cloud Service is hosted in the

Oracle Cloud and acquired exclusively through a subscription service (SaaS) model.

This shifts funding from a potential capital investment in software and IT

infrastructure to an operational expense. Retailers benefit from world-class

capabilities that drive marketing, service, and operations to meet and exceed

customer expectations. From an IT perspective, the Oracle Cloud team takes on the

burden and responsibility of providing retailers with the highest levels of system

availability, scalability, performance, and data security. Included in the service is:

continuous technical support, access to valuable software feature enhancements,

hardware upgrades, and disaster recovery. Lastly, retailers will have peace of mind

knowing that their data is managed and protected by Oracle, the company that

leads the world in database technology.

Oracle Cloud Solutions take care of the software installation, monitoring, patching

and upgrading; freeing IT resources to perform more value-added tasks and

allowing retailers to focus on business processes and innovation.

Learn More or Request a Demo

Key Features

 Integrated with the

Category Management

Planning & Optimization

solution; enabling the

ability to easily review and

reconcile results with

upstream plans

 Creation of customer-

centric and targeted

assortments while

optimizing assortment and

item facings to available

space

 Use item-level demand

transference combined

with supply chain

constraints to create

targeted assortments at

the store or store cluster

level

 Dynamically generate

store clusters based on

available fixture

dimensions

 Support for different

fixture types include shelf,

peg board, freezer chests

as well as peg board /

shelf combinations

 Visual guidelines and

defined business rules

throughout the

optimization process

 ‘What-if’ analysis to

identify opportunities to

increase and/ or decrease

space allocated to a

particular assortment

 Optimized shelf layout in a

visual preview and the

ability to make updates

CONNECT WITH US

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