ReposiTrak, Inc., the industry leader in solutions for stock replenishment, compliance, sourcing, food safety and risk management for the retail supply chain, reports that 77 percent of bakery suppliers using its Out-Of-Stock (OOS) Management Solution for improved direct-store delivery have reduced out-of-stocks in that category by an average of 40 percent.
ReposiTrak’s OOS Management identifies out-of-stock opportunities so suppliers can work with their retailers to maintain on-the-shelf inventory. As Amazon expands home delivery of groceries, out-of-stocks have taken on a more critical importance for food retailers because they increase the risk of customer defection when shoppers don’t find their desired items in the store. A 2018 IHL study found that when Amazon Prime members come across an empty space on the store shelf, they are 52 percent more likely than other customers to buy the missing item online.
Bakery suppliers using the out-of-stock management solution saw improvements in reducing their out-of-stocks in under three months. “We provided the bakery vendors with actionable information and then our team of experts worked with them on what to do to reduce out-of-stocks,” said ReposiTrak Chairman and CEO Randy Fields. “By fixing out-of-stocks, the bakery suppliers improved sales and customer satisfaction for both themselves and their retailers.”
OOS Management is a software-as-a service, cloud-based solution that takes point-of-sale (POS) data from the retailer to provide actionable reports for store-shelf management and replenishment. ReposiTrak’s proprietary algorithms analyze POS data to generate weekly reports, pinpointing how vendors can make improvements at the store-level, item-level and route-level to reduce out-of-stocks. A team of ReposiTrak professionals then follow up with the suppliers to take action based on the reports.
Although ReposiTrak rolled out its OOS Management Solution with Direct-Store-Delivery (DSD) vendors using ReposiTrak’s Scan-Based Trading (SBT) solution, retailers can use the OOS solution to work with non-DSD suppliers to address the out-of-stocks as well. Suppliers in a range of categories — not just bakery — are using this solution. In addition, a vendor does not have to be participating in an SBT program to take advantage of the solution. OOS Management Reporting is applicable to all types of suppliers, no matter the payment arrangement with the supplier, or whether they are involved in direct-store delivery or ship to a retailer’s distribution center.
FMI-The Food Industry Association recently endorsed ReposiTrak’s OOS Management Solution for reducing out-of-stocks in the grocery industry. “FMI gave us that endorsement in part because we’ve achieved significant results in cutting out-of-stocks in a number of categories including bakery,” said Fields.
The ReposiTrak Platform drives growth and supports supply and demand activities for retailers, manufacturers, and their trading partners, consisting of three product families; Compliance & Risk Management, Supply Chain Solutions and MarketPlace Sourcing and B2B Commerce. Delivered via one technology platform, all the applications are mutually reinforcing and work synergistically to create value and positive impact across the entire enterprise.
About Park City Group and ReposiTrak®
Park City Group (NASDAQ: PCYG) is a Software-as-a-Service (“SaaS”) provider that brings visibility to the consumer goods supply chain through its ReposiTrak, Inc. subsidiary. ReposiTrak has three product families; Compliance & Risk Management, Supply Chain Solutions, and MarketPlace Sourcing and B2B Commerce. The platform provides retailers and suppliers with a robust solution suite to help enhance operational control and increase sales, while enabling them to protect their brands, reduce risk and remain in compliance with regulatory requirements. More information is available at www.parkcitygroup.com and at www.repositrak.com.
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