All the sophisticated tools to influence demand with pricing, new product introductions and promotions have pushed demand volatility and consumer expectations to unprecedented levels. Internet-fed trends are changing at hyper-speed. To thrive in this complex, fast-paced world, you need to be ready for whatever tomorrow brings. Service Optimizer 99+ (SO99+) demand sensing reduces demand variability by extracting signals out of noisy demand and helps you react rapidly to downstream demand.
Demand sensing has enabled ToolsGroup clients to improve forecast accuracy by 15-40%, decrease inventory by 10-30%, and improve customer service levels by two to five percentage points.
Extract relevant information directly from PoS data to improve your sales forecast without waiting for your distributors or retailers. Getting earlier demand insights enables you to create more accurate short-term plans and reduce expediting.
When you have the right product, but it’s in the wrong place, demand sensing helps you dynamically optimize inventory and balance your network. It considers not only inventory in regional warehouses but also expected and “refreshed” customer demand.
Getting rapid insights into demand factors like weather and promotions that can impact “normal” seasonal demand patterns is vital for anticipating and reacting quickly. Expanding visibility of the distribution network reduces demand latency and drives better supply through the network.
Use sell-in data such as promotion attributes and product and market data to understand the promotional uplift and better forecast demand for future promotions.
SO99+ leverages granular data to analyze daily demand information as close as possible to the end customer and immediately detect changes in demand behavior.
Visibility into this information helps you identify demand trends, provides advanced warning of problems, and removes the latency between the plan and what’s really happening in the supply chain.
These include a wide range of demand-correlated variables. Demand sensing applies machine learning to create a more accurate forecast reflecting market shifts, promotions, social media, new product introductions, weather…so you can be ready for anything.