Unsaleables Case Study

SITUATION

A grocery retailer with a reputation for innovation was experiencing a steady increase in unsaleables rate and wanted data to drive improvements in its business model, with a goal of maximum unsaleables recovery under applicable Adjustable Rate Programs (ARP).  

STRATEGY

• Inmar developed a comprehensive unsaleables reduction program addressing process, procedure, private-label product packaging and policy. The retailer coordinated internal cross-functional program adoption and collaboration with suppliers, stores and internal partners.
• Inmar implemented a single-scan returns process in its facilities to eliminate a reverse-logistics  touchpoint. Utilizing Inmar’s nationwide DC network reduced transport.
• Manufacturing trading partners adopted the streamlined process to control product disposition and capture damage reason codes.

RESULTS

• 50% reduction in unsaleables—the lowest point in more than 10 years
• Cost savings from reduced transportation and sharing disposition costs with manufacturers.
• Eliminated administrative burden of reconciling variances.
• Gained ability to monitor performance at store, department, category and item levels.