Given the growing expectations of a smarter and continually more savvy consumer base, retailers and CPG companies today are challenged to increase sales, improve profitability, and create an exceptional customer experience. Optimizing inventory is a key part to driving sales and margins, and one of the most effective ways to achieve that is by having a better understanding of data. Historically that has meant traditional analytics tools; however, those only yield more reports and make it difficult for the reader to determine what action should be taken. More companies are starting to realize the benefits of a robust prescriptive analytics solution; most notably, fewer reports and more guided actions.
Profitect, a SaaS (Software as a Service) company based out of the Boston area, is taking the retail and CPG/manufacturing industries by storm with their world-class prescriptive analytics solution. Founded in 2012, the company is helping eliminate confusion around reports and empowering its customers to take immediate action to improve their inventory positioning, pricing, sales, margin, and overall customer satisfaction.
Designed around the needs of retail and CPG, Profitect’s vision is to reduce these industries’ dependence on reporting. “Reports are often confusing, inaccurate, time-consuming to read, and prone to personal bias,” says Guy Yehiav, CEO of Profitect. “For example, employees from different departments could each have a unique interpretation of an inventory report, a forecast report, etc. based on their own perspectives. Rather than issuing a report that an employee must interpret on his or her own, Profitect’s prescriptive analytics solution issues a descriptive insight combined with prescriptive actions, which tell the recipient in plain text exactly what was found and how to respond to any key insights in near-real time.”
These prescriptive actions are the hallmark of Profitect’s prescriptive analytics solution. Powered by pragmatic artificial intelligence and machine learning, Profitect analyzes its customers’ data, looking for behaviors that indicate areas for improvement, such as inventory distortion, inaccurate forecasts, out of stocks, fraud, excessive damages, unsellables, and more. Key insights are delivered to the appropriate stakeholder as an opportunity, along with a plain-text prescriptive action telling the recipient how to respond to improve sales and margins.
“The prescriptive actions are Profitect’s main differentiator from its report-based predecessors, as these actions enable a faster, more effective response to issues that negatively impact revenue, and also increase accountability,” says Yehiav.
Profitect for Inventory
Yehiav stresses the importance of such a solution for inventory-management personnel. “As retailers and manufacturers try to please as many customers as possible, their inventories become more and more difficult to manage and costs increase,” says Yehiav. “An optimal inventory-management process requires an advanced analytics solution to identify and flag costly issues with quality, markdowns, availability, damages, waste, and more, before the problem spreads or losses pile up. Our prescriptive analytics solution helps beleaguered inventory managers maintain visibility and control over product movements into and out of the store. Simply put, Profitect ensures execution is aligned with planning and strategy; if a deviation from either is identified, its root cause and prescriptive actions are sent to employees at the edge to correct course.”
In deploying Profitect’s prescriptive analytics solution, every employee at the edge is empowered to take immediate action to correct behaviors that negatively impact revenue, as well as duplicate behaviors that increase revenue. In addition, the solution also tracks each prescriptive action to ensure follow-up by the recipient. “This workflow has consistently proven to increase sales and strengthen margins, while also reducing labor costs and creating accountability,” adds Yehiav.
In addition to inventory, Profitect’s prescriptive analytics solution can be used by virtually any department within the retail, grocery, and CPG industries, such as finance, supply chain, IT, asset protection, store operations, and more.
Profitect: First Choice of Retailers and CPG Companies
Profitect has built a reputation among many of the leading retail and CPG companies for its ability to implement its prescriptive analytics solution in days, rather than months or weeks, ensuring ROI is achieved as quickly as possible. Today, the company’s client portfolio includes some of the world’s largest and best-known brands including Walgreens, Ascena Retail Group, Designer Brands (formerly DSW), Tractor Supply Company, Luxottica, and many more.
The company ensures unparalleled customer growth through solutions that are fully configurable. Moreover, Profitect’s Customer Success team has extensive industry expertise and is fully devoted to helping customers continuously generate value. It also provides coaching to customers on how to grow and expand Profitect usage within their company. All of these support services are offered free of charge as part of their all-inclusive user and pricing model, along with data deployments, user onboardings, system configuration, and more.
“Our customers’ satisfaction and success is absolutely the number-one priority for Profitect,” says Yehiav. “In addition to our complimentary services, we have a very active customer community, with quarterly community calls, an annual user conference - Profitect PACT (Prescriptive Analytics Collaborative Training), and frequent meetings and check-ins to stay up-to-date on how our customers use the solution.”
One of Profitect’s inventory users told The Technology Headlines, “We started partnering with Profitect back in 2014. Today we have about 200 million lines of data running through the system daily, with 5,000 users. That's 5,000 people that can take action on data, much faster than before.”
Another inventory user stated, “Profitect is an industry leader providing a platform and service that others cannot compete with. The support and service have been world-class.”
The versatility of its solution has also helped the company expand its footprint into overseas markets like the United Kingdom and the Middle East. Profitect next aims to further extend the adoption of its prescriptive analytics solution into mainland Europe and Australia.
Our customers’ satisfaction and success is absolutely the number-one priority for Profitect
© 2019 THE TECHNOLOGY HEADLINES. ALL RIGHTS RESERVED.