Procter & Gamble Remedies Out of Stock Scenarios and Improves Alert Accuracy by 75%
Procter & Gamble is the world’s largest and most profitable consumer products company, with nearly $84B in sales and dozens of billion dollar brands for home, hair, and health. A common challenge for CPG providers is how to proactively tackle out of stock scenarios and P&G is no exception. How does it provide its retailers with the right information in order to prevent costly distribution voids, low stock supplies, and phantom inventory? In 2012, the company partnered with Verix with the goal of remediating out of stock scenarios.
P&G was expending countless resources manually creating analytic reports to preempt out of stock situations. The reports were cumbersome to create, pulling information from countless mathematical models and 3rd party solutions. Alerts were untimely and inaccurate and as a result, utilization was minimal at best.
Everyday, P&G absorbs petabytes of exponentially growing data. The company needed to find a solution that could process it all and generate accurate and reliable business alerts to enable educated and timely business decisions for all its retailers.
With pressure on one side from retail stores and HQ on the other, it needed to implement a solution quickly that could prove the value-add and ROI.
Automated data analysis and predictive alerts made a big difference in the way P&G handles merchandise at retail chains. With Intelligent Business Alerts (HotSpots), analytics utilization jumped and the company was able to prevent costly out of stock scenarios.
Manual analysis became a headache of the past and, armed with predictive capabilities, Verix’s analytics has become a vital tool for field sales reps to preempt out of stock situations.