sku-rationalization-advisor

To identify underperforming SKUs for delisting, you need to analyze SKU master data alongside sales history. This process scores items based on revenue, profitability, velocity, and trend to pinpoint which products to remove, consolidate, or replace for lower complexity costs.

Effective SKU rationalization requires SKU master data and sales history as mandatory inputs. Providing optional inventory, margin, and distribution data enables a more comprehensive evaluation, allowing the analysis to assess strategic roles, detect redundancy, and project precise financial impacts.

Yes, you can analyze tail SKUs in a large retail or CPG product portfolio to streamline assortment. The analysis specifically targets tail-SKU evaluation and product portfolio pruning, detecting overlapping items and recommending consolidation to reduce overall SKU count and complexity.

Redundancy analysis detects overlapping SKUs by evaluating product performance metrics and strategic roles within the assortment. It identifies items with overlapping characteristics and recommends consolidation, ensuring the streamlined portfolio retains high-velocity products while reducing complexity costs.

The best way to evaluate strategic roles of low-performance SKUs before delisting is to assess their necessity beyond basic metrics. Strategic role assessment identifies items crucial to the portfolio despite low performance scores, preventing the removal of products that serve vital business purposes.

Yes, SKU rationalization works for projecting the impact of assortment pruning on revenue. By analyzing sales history and margin data, the process provides actionable recommendations on whether to keep, delist, consolidate, or replace items, projecting the resulting changes to both revenue and costs.