A leading formal wear brand improved inventory health from 70%- 82% with Auto-Replenishment System

One of India’s leading formal wear brands used Increff Merchandising solution to manage inventory across multiple sales channels. By predicting the size-wise demand at store category level for discounting season and fresh season launch, it helped maintain healthier inventory at stores with on-time replenishment to contain revenue degrowth. In case of the non-availability of a top seller style, the system suggested attribute group mapping to replace it with the closest possible style. Auto replenishment was set up for daily dispatches to maintain lean inventory at the store as per demand. 


To increase sales velocity by maintaining healthier and lesser inventory at stores with on-time replenishment for one of the leading men’s formal wear brands in India.  


  • A smart Assortment plan for ~200 exclusive brand outlets was created to mirror the true demand
  • Attribute grouping was done to replace the closest possible styles in case of stock-out situations to cater to demand. 
  • Set up an automated replenishment system for daily dispatches to maintain lean inventory at the store and supply as per demand. 
  • Started with 1 channel and ~200 stores, now handling 3 channels and ~470 stores
  • Regular replenishment/ Allocation via ARS (EBO-daily and FOFO-weekly)
  • On-demand replenishment/ allocation for LFR channels
  • Inter-store transfers/ Store closure exercise to consolidate inventory
  • BI dashboards to track in-season performance and diagnose L2L comparison.

Business benefits:

  • Contained revenue degrowth with a reduction of 25% in inventory holding and 9% in discount.
  • Prevented loss of sales by correcting ~40% brokenness of fresh merchandise via IST
  • Ensuring better conversion by improving inventory health from 70% to 82%
  • ~100% fill rate maintained in top categories. 
  • ~75% health in stock maintained at the end of the season via ARS

Author: Ashish Pallapothu