What are the essential tools for merchandise planners?

2 Data analysis tools

Merchandise planners need to analyze the data they collect to identify patterns, opportunities, and risks, as well as create forecasts and scenarios based on various assumptions and variables. Common data analysis tools include spreadsheets, business intelligence (BI) tools, and statistical tools. Spreadsheets allow users to organize, manipulate, and visualize data while performing calculations, functions, and formulas. BI tools integrate, transform, and present data in interactive dashboards, reports, and visualizations with advanced features such as data mining. Statistical tools enable users to perform statistical tests and techniques to analyze data and draw conclusions while validating hypotheses and measuring uncertainty.

3 Planning tools

Merchandise planners need to create and manage plans that align with the business objectives, budget, and strategy. They must also keep an eye on actual performance and market conditions in order to adjust the plans accordingly. Common planning tools include the merchandise hierarchy, open-to-buy (OTB), and assortment plan. The merchandise hierarchy helps define the scope, depth, and breadth of the assortment, as well as allocate resources and measure results. OTB is a budgeting tool that shows the amount of money available to purchase new inventory for a given period, channel, or category. It helps planners control inventory levels and optimize cash flow. Lastly, an assortment plan specifies products, quantities, prices, and timing of inventory for a given period, channel, or category; this assists planners in meeting customer demand while maximizing sales potential and minimizing markdowns.

4 Communication tools

Merchandise planners need to communicate and collaborate with various stakeholders, such as buyers, suppliers, merchandisers, marketers, and store managers. They must also present and explain their plans, findings, and recommendations to the senior management and other decision-makers. For this purpose, planners can use presentation software to convey their messages in a clear and engaging way. Additionally, project management software can help coordinate and track the progress of plans and activities. Finally, collaboration software enables users to share information and documents, which can help planners work with others and improve the quality of their work.

5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?