The Retailer's Guide to OSA

The Retailer's Guide SI TO ON-SHELF AVAILABILITY (OSA) what is on-shelf availability? PROVIDING A PRODUCT THE SHOPPER IN A SALEABLE CONDITION WHEN & WHERE WANTS IT A The product is on the shelf The product is in the right place $6 The product has a shelf edge label O The product is in a saleable condition 68% of availability issues happen in the last 50ft of the supply chain - the store MOST COMMON ON-SHELF AVAILABILITY ISSUES SHELF EDGE LABEL MISSING PRODUCT IN BACK OF STORE & NOT BEEN REPLENISHED PRODUCT NOT AVAILABLE TO ORDER FROM WAREHOUSE 2 1 3 the bad newS Shoppers have only a 4% chance of fulfilling a 40-item shopping list 6 tweets per second complaining about out-of-stock products %24634BN the worldwide loss in the retail industry caused by out-of-stocks 4.1% 8.3% 20% out of stock levels across out of stocks that remain loss in revenue for the average retailer due to out-of-stocks unresolved for more than Europe 3 days 3 STRIKES AND YOU'RE OUT what happens when a product is out of stock? 1ST 2ND 3RD TIME TIME TIME The shopper is likely to substitute the product The shopper will substitute the The shopper will make no product or make no purchase purchase or change stores/ retailers LOST SALES & UNHAPPY CUSTOMERS O the good news - THE OPPORTUNITY FOR MANUFACTURERS: 3% IN OSA >1% IN SALES INCREASE INCREASE FOR RETAILERS: 2% IN OSA >1% REASE INCREASE INCREASE ·DDDD DD DD 4 steps in the right direction STANDARDIZE IMPROVE ROOT CAUSES COLLABORATION EMPOWER PEOPLE STANDARDIZE IN THE SUPPLY CHAIN ACTION PLANS ACTIONS IN STORE CAN SOLVE 1/3 OF OSA PROBLEMS & INCREASE FOR LIFE STORE AVAILABILITY BY UP TO 10% For more information about how you can improve On-Shelf Availability, please visit www.juliand.co.uk Join the conversation Sources: @JuliandDigitalt Data from the HIVE OSA app http://engage.orderdynamics.com/01-Global-Website-Con- tent-Download_Research-Report-Retailers-and-the-Ghost-Economy.html http://igd.com/Research/Supply-chain/In-store/3459/On-Shelf-Availability/ http://www.iriworldwide.eu/Portals/0/ArticlePdfs/OSA%20White%20Paper%20-%20Final.pdf Juliand Digital