Optimising assortments
The current period of inflation has made prices the number one priority for food distributors. Customers’ budgets are under pressure, leading them to reassess their needs, and 60% of them have switched to lower ranges of products such as budget or own-brand lines. The hard discount model is the clear winner in Europe.
Working on their image and prices has become a key issue for supermarkets and hypermarkets to protect their market share and ensure their model remains profitable. One possibility to carefully consider is reducing assortment. The process can lead to an offering that is easier to understand and smooths out the purchase process, responding to a real need for the customer, but it can also save money throughout the value chain, leading to lower prices.
It’s a virtuous cycle for shops and customers, but the challenge lies in how to implement it well. Accenture and partner Timeskipper are here to explain how.