Range
The average store now holds 35 per cent more than five years ago, yet a typical consumer buys just 18 on a trip. A quarter of these skus sell less than six units a week! The number of skus offered by manufacturers and stores has become too large and complex. My company is equally guilty in this area. No question, we make too many skus. I can assure you we are working on it. Actually, our overall sku count in laundry is already down 20 per cent compared to this time last year. What’s more, business is up. Clearly, we have an opportunity to rationalise our ranges. As long as we do this in an ECR way – focusing on what consumers want – we will all win. The consumer will see a clearer range. Retailers and manufacturers will carry less inventory and less complexity. The result will be cost savings across the whole supply chain and stronger margins.