Boost the supply chain efficiency of your DIY and home improvement stores

LEAFIO helps DIY retailers effectively work with multiple suppliers and different delivery procedures to ensure optimal inventory levels. Ensure high inventory visibility across all sales channels. Get access to over 40 analytical reports for inventory optimization. Build end-to-end merchandising process implementing a unified approach to planogram generation and ongoing merchandising control with a mobile app.

Boost the supply chain efficiency of your DIY and home improvement stores
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Turn the challenges DIY and Building materials stores face into automated routines and profit opportunities

Difficulty in managing a wide assortment, including imported goods

Some DIY chains can have up to 1,000,000 SKUs with a large share of imported goods. This results not only in high labor costs for inventory management and merchandising but also increases losses due to human error and missed delivery times for imports.

The LEAFIO system allows you to:

  • Automatically generate and send thousands of orders to suppliers daily based on the most accurate demand forecasts;

  • Making orders, take into account current stock, demand, sales, order execution, lead times, goods-in-transit, etc.;

  • Analyze assortment performance and rotate it based on forecasts and data;

  • Automatically generate planograms considering dimensions, merchandise proximity, product storing features, etc.

Faults in inventory forecasting for slow-movers and new products

In the DIY segment, there are two groups of products that are difficult to manage inventory and orders due to demand forecasting and factor calculation issues. These are products with low turnover and new products with no sales history. The risk of errors and losses in managing these categories is the highest.

The LEAFIO system allows you to:

  • Based on advanced algorithms, predict future demand for slow-movers for the most accurate replenishment orders;

  • Introduce new products into the assortment without the risk of building up dead stock by using clustering and product analogs;

  • Quickly analyze product assortments, identifying low-turnover items and items with lost sales;

  • Automatically calculate an inventory buffer for items with different sales frequencies.

Lack of full inventory visibility in all sales channels

Managing inventory in a multi-channel environment and allocating it between channels and stores is challenging for the DIY store retailer. Another challenge is inventory planning for each channel according to frequently changing demand and type of customers (regular consumers or professional contractors).

LEAFIO allows you to:

  • Fully automate the replenishment process, taking into account all channels from the moment demand is calculated to the moment the supplier receives the order;

  • Ensure a transparent and efficient inventory management process at all levels of the supply chain without manual intervention;

  • Have accurate inventory visibility, considering sales and product movement through all sales channels.

Managing pronounced seasonality without lost sales and dead stocks

DIY product demand has pronounced seasonal and intra-week changes. If stocks, displays, and assortments are not adjusted to these fluctuations, there can be lost sales, costly overstocks, or write-offs.

How this is solved with LEAFIO:

  • The system includes a module for short-, medium- and long-term demand forecasting;

  • Seasonality coefficients for each product group are calculated and applied automatically;

  • The system has a set of scenarios that can be applied depending on the area, region, or market situation for maximum order accuracy;

  • You can quickly perform seasonal SKU rotation across the entire chain using the auto-facing feature;

  • All seasonal changes in planograms are instantly assigned as a task to the store employees in charge, and they can easily report on its fulfillment using the mobile app.

Intelligent promotion planning and execution

The DIY market is highly competitive and price sensitive. Most customers will look for where it's cheaper, with no preference for any particular store. Therefore, retailers must make every effort to retain customers by intelligently planning and timely preparing for promotions.

How this is solved with LEAFIO:

  • The system ensures timely product availability before the start of the promotion and replenishment during the promotion by adjusting to current demand;

  • A handy promotional calendar allows you to see all past, current, and future promotions across the chain, stores, and categories;

  • The program allows you to generate planograms for promo campaigns automatically and replaces them with regular ones at the end of the campaign;

  • The mobile application helps quickly control the display of promotional goods, the order on the shelves, and the relevance of the price tags.

Correct order preparation for a large number of suppliers with different delivery processes

For DIY chains, it is not only the predominance of import suppliers with very long delivery times but also the need to adjust to the assortment and availability of goods from different suppliers. Long delivery times and large order volumes in the event of delivery delays or other logistical problems can lead to losing loyal customers.

The LEAFIO system will help you to:

  • Automatically create orders, taking into account current demand and store inventory levels, as well as the specifics of product shipments;

  • Automatically calculate high-precision forecasts for inventory management in regional/central warehouses and distribution centers;

  • Establish a competent system of distribution of goods to stores and the creation of a targeted inventory;

  • Evaluate the reliability and contribution of each supplier in terms of timeliness and adherence to delivery deadlines.

The need to separate goods that are sold and stored when analyzing sales

Considering the specifics of construction and DIY stores, most goods are stored in the sales area (e.g., on upper shelves or pallets). When analyzing sales by the meter/foot, it is essential to consider this feature; otherwise, the figures will be significantly distorted.

How this is solved with LEAFIO:

  • The system allows goods to be displayed on these storage shelves when generating planograms;

  • When forming sales analytics, this type of display is not considered by the system, which ensures the correctness of indicators.

Striving to use the display space efficiently

Even though DIY stores can be enormous, because of the number of different SKUs and the need to allocate storage space, display space is often limited. That's why there is frequently only one product sample on display. At the same time, customers and employees find it challenging to identify the right product in such extensive areas.

The LEAFIO software product allows the following:

  • Automate merchandising in DIY stores of any size and format;

  • Use different kinds of shop equipment to create planograms;

  • Create instructions for assembling equipment/components and add comments to planograms to clarify the specifics of product placement on the shelves;

  • Use the mobile app to synchronize work with planograms for all types of employees involved in this business process - merchandisers, planogram managers, category managers, marketers, and sales floor staff;

  • Analyze the profitability of displaying and selling even the goods displayed on the shelves with single samples.

Provide an incomparable availability level to help your clients complete their construction projects on time and within budget.

Our DIY stores customers typically face the following impacts

8%

more sales

30%

faster turnover

50%

less overstock

80%

less manual labor

15%

waste reduction

50%

less lost sales

Check up the LEAFIO AI platform demo

Increase the turnover and profitability of your retail!

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