Management wanted to quantify the impact of various service levels at its retail partner’s stores in order to improve field sales force allocation. In particular, management wanted to optimize the frequency of visits that servicing personnel made to each store.
The manufacturer chose APT’s predictive analytics to test the impact of various changes to its servicing program. Using the manufacturer’s own store of Big Data, APT’s software identified the incremental value of different service levels and inventory adjustments. This information showed the manufacturer that the ROI of the servicing program would improve by focusing its resources on a subset of stores. APT’s software identified the stores where the greatest return was generated from store servicing.
With scientific accuracy, APT’s Test & Learn™ software predicted the optimal frequency for servicing and inventory adjustments for a list of targeted stores. Servicing at this precise frequency minimized costs and drove tens of millions of dollars in incremental sales.
A leading multinational manufacturer wanted to determine the optimal deployment and utilization of retail servicing personnel.
The manufacturer wanted to understand how to best utilize the field sales force to maximize ROI.
Several deployment and utilization models were tested.
APT’s Test & Learn™ software measured lift of the overall program, and through drill-down analyses, uncovered insights with implications toward a tailored implementation plan.
A category-leading multinational manufacturer
The client was unsure about the best allocation of field sales force resources. While many measures of the effectiveness of the field sales force existed within the company, management wanted a scientific approach to quantifying the impact of various service levels on sales at its customer’s retail stores. Of particular interest was the frequency of visits to stores. Should stores be visited weekly or bi-weekly? Which approach yields the greatest net return? And during these visits, how could reps best allocate their time? Which servicing elements generate the greatest sales lift?
With the help of APT, the client ran multiple tests designed to assess the impact of varying the deployment and utilization of retail servicing personnel.
The overall impact of the various tests was quantified using APT’s Test & Learn™ software. POS sales lift of the overall initiative was more than eight percent. Parsing the results showed a range of benefits to correcting on-shelf, in-store display, and inventory issues. APT’s software identified the incremental value of different service levels and inventory adjustments. APT highlighted a pattern when examining stores missing the most inventory at the time of the inventory recount: generally these stores were located in areas with higher population densities.
The ROI of the servicing program could be further improved by focusing resources on a subset of stores. Specifically, APT's software determined that stores with the following characteristics generated the greatest return from store servicing:
Higher sales volume
Lower price points for a particular brand
Located in areas with higher population density
Located in areas with lower median age
Located in areas with lower income
APT’s Test & Learn™ software identified a targeted list of stores and optimal servicing/inventory frequency for each, driving tens of millions of dollars in incremental sales, while minimizing servicing costs.