To Boost Sales, Stock a Little of Everything

by Deepak Sharma on Friday, August 20, 2010

This ATKearney Report compares the usual and the new ways of thinking about Assortment Management and Replenishment for low-volume items.

When products don't sell very much, conventional wisdom calls for reducing assortments and tailoring them to local conditions. But the opposite approach—stocking small quantities of each product at every store and centralizing replenishment decisions—has been shown to increase sales and reduce inventories without raising costs.