Empty shelves and inventory-heavy warehouses; how omnichannel retailing, propelled by data, is becoming a game changer in retail supply chain.
In the past, store owners focused primarily on in-store customers. However, the "empty shelf" syndrome has become more pronounced as retailers struggle to meet the expectations of today’s digital-savvy consumers.
According to Petrus Gerber, Supply Chain Solutions Manager at Bidvest International Logistics, this shift underscores a critical issue. “Despite having fully stocked centres, many retailers still face the challenge of empty store shelves. This highlights the critical need for robust data systems and capabilities. Without them, visibility into stock levels is severely limited,” Gerber says.
In today’s retail environment, it’s all about customer experience and demand. “You must be able to deliver a consistent experience across different channels, whether in-store, online, mobile, or at pickup points. Customers also demand personalisation across channels. If they don’t get it from your business, they’ll go elsewhere,” he adds.
Data and AI tools are playing a pivotal role in addressing these challenges. They provide automatic suggestions for customers and link these suggestions to available alternatives in the distribution centre. This connection between sales and stock availability through targeted messaging is driving up sales.
“For retailers, it’s vital to structure logistics in a way that ensures a sale never falls flat. It’s ultimately about the speed of execution to meet customer expectations. This is where supply chains and logistics play a crucial role in ensuring customers get what they’re looking for.”
At all BIL warehouses, duty-paid and bonded facilities manage stock through an inventory management system utilising barcode technology. Gerber emphasises the importance of real-time data: “It’s not only about data; it’s about real-time data that allows retailers to react immediately to stockouts or rapid inventory reductions. It’s about having full visibility of your partners, suppliers and manufacturers.”
Gerber concludes, “Retailers must ensure a consistent experience across all channels. Adapting to the times is the number one priority for businesses in today’s competitive landscape.”
In the past, store owners focused primarily on in-store customers. However, the "empty shelf" syndrome has become more pronounced as retailers struggle to meet the expectations of today’s digital-savvy consumers.
According to Petrus Gerber, Supply Chain Solutions Manager at Bidvest International Logistics, this shift underscores a critical issue. “Despite having fully stocked centres, many retailers still face the challenge of empty store shelves. This highlights the critical need for robust data systems and capabilities. Without them, visibility into stock levels is severely limited,” Gerber says.
In today’s retail environment, it’s all about customer experience and demand. “You must be able to deliver a consistent experience across different channels, whether in-store, online, mobile, or at pickup points. Customers also demand personalisation across channels. If they don’t get it from your business, they’ll go elsewhere,” he adds.
Data and AI tools are playing a pivotal role in addressing these challenges. They provide automatic suggestions for customers and link these suggestions to available alternatives in the distribution centre. This connection between sales and stock availability through targeted messaging is driving up sales.
“For retailers, it’s vital to structure logistics in a way that ensures a sale never falls flat. It’s ultimately about the speed of execution to meet customer expectations. This is where supply chains and logistics play a crucial role in ensuring customers get what they’re looking for.”
At all BIL warehouses, duty-paid and bonded facilities manage stock through an inventory management system utilising barcode technology. Gerber emphasises the importance of real-time data: “It’s not only about data; it’s about real-time data that allows retailers to react immediately to stockouts or rapid inventory reductions. It’s about having full visibility of your partners, suppliers and manufacturers.”
Gerber concludes, “Retailers must ensure a consistent experience across all channels. Adapting to the times is the number one priority for businesses in today’s competitive landscape.”