The author further explains how AI can help in precise forecasting, real-time data analysis, and automatic updating of ERP systems. AI can also manage inventory optimization efficiently, reducing costs and waste. The article also mentions the potential of AI in identifying brand partnership opportunities and personalizing advertisements. The author concludes by stating that leveraging AI not only benefits the retailer but also the end consumer, provided the businesses have already digitalized their processes.
Key takeaways:
- Digital transformation in retail can lead to increased efficiency, elimination of manual errors, reduction of operational spend, and real-time data to inform decision-making.
- AI can analyze sell-through data to predict precisely which quantities and styles a buyer needs for the upcoming season, allowing for better inventory management and forecasting.
- AI can also recommend potential brand partnership opportunities that would complement a retailer's current assortment for the season.
- Utilizing AI to optimize business processes not only benefits the retailer but also the end consumer, due to more tailored assortments on the selling floor and an overall superior customer experience.