increase revenue by demand shaping at point of sale

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Increase Revenue By Demand Shaping At Point‐of‐Sale

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Demand Shaping is Mandatory for Increasing Revenue And Providing Good Customer Experience As product choices and the number of SKUs grow, demand shaping techniques are mandatory for increasing revenue and for providing good customer experience in this customer-centric world

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Page 1: Increase Revenue By Demand Shaping At Point Of Sale

 

 

 Increase Revenue By  

Demand Shaping  At Point‐of‐Sale 

          

Page 2: Increase Revenue By Demand Shaping At Point Of Sale

 

Page 2 of 5 

Sales forecasting is a challenge in the best of times! 

 

The times we are in make it a herculean task.   Market demand shifts 

continually as economic conditions change, products change, prices fluctuate, 

competitors act, new products are introduced, marketing creates 

promotions…….. The list is quite endless.   Current planning and forecasting 

methods are reactive and struggle to keep up with these shifts. 

 

The solution is “Demand sensing and Demand Shaping” ‐ active methods to 

predict what demand will arise and keep ahead of the market.  Demand 

sensing is the ability to detect what choices customers are buying patterns 

and the trends associated with these choices.  Demand sensing can help you 

to quickly see market shifts to plan your product mix and offering.   

“Demand sensing and Demand Shaping” - active methods to predict what demand will arise and keep ahead of the market 

Page 3: Increase Revenue By Demand Shaping At Point Of Sale

 

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Demand Shaping For Higher Sales    

 

Demand shaping is the ability to guide customers to the best choices at point‐

of‐sale.  This is the true to key to supply chain efficiency.   However, demand 

shaping needs product intelligence at point‐of‐sale to guide customers to the 

best choices.  Some of the ways to demand shape are –  

If you offer many products or SKUs, there are typically strong buying 

patterns in the demand.  For example – This printer is often bought 

with this paper, this cartridge and cable.  Then, when a customer 

selects the printer, you can to automatically show him the other items 

that have strong buying patterns.   The customer will thank you for 

this because the usually need these additional items, and you just 

saved him a lot of effort thinking about it, and a ton of time searching 

for it.  And you made more money in this sale!   

  

 

 

 

Customers buying patterns

Customers who bought this product also bought this other product, or these products are very often bought together.  

Page 4: Increase Revenue By Demand Shaping At Point Of Sale

 

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If you offer a product with many attributes, every sale will begin with the 

customer calling out a few attributes.  The opportunity to demand shape 

is to recommend a good choice based on the partial list of attributes the 

customer has called out.  Demand Shaping requires the ability to 

complete the order with the right attributes. The best way to complete 

the order is to have sales intelligence these attributes are bought with 

these other attributes.  It is the Amazon‐esque way to look at products 

with many attributes.    

 

 

 

 

 

The biggest opportunity of Demand Shaping is guiding customers to 

close‐enough SKUs.  Most buying is done with ‘kinda‐sorta’ attribute 

description. As the number of product features grow, there are a large 

number of SKUs that we similar.  So there is a significant opportunity to 

guide a customer to a similar or close‐enough SKU.  The SKU may differ in 

attributes that the customer did not call out or specify.  If you can offer up 

this SKU it is a win‐win. You have served the customer. You have won the 

sale. You have moved your inventory. Your competitor did not get this 

customer.   

 

 

  The opportunity to demand shape is to recommend a good choice based on the partial list of attributes the customer has called out.  

  The biggest opportunity of Demand Shaping is guiding customers to close-enough SKUs.  

Page 5: Increase Revenue By Demand Shaping At Point Of Sale

 

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Demand Shaping is Mandatory for Increasing Revenue And Providing 

Good Customer Experience  

 

As product choices and the number of SKUs grow, demand shaping 

techniques are mandatory for increasing revenue and for providing good 

customer experience in this customer‐centric world. 

 

Think of demand sensing as predicting what demand will arise, as opposed to 

simply reacting to incoming orders. Shaping demand, on the other hand, is all 

about steering customers toward available products and services.  

  

Call To Action – How much revenue can you gain by demand shaping and up‐

selling? What are the strong customer buying patterns in your demand that you can 

leverage to increase revenue?  For a quick evaluation to quantify the revenue gain 

please contact Emcien at www.emcien.com. 

About Emcien, Inc. Emcien offers an analytics software solution that auto-detects customer buying patterns and trends in sales transaction data. With Emcien’s analytics companies’ can increase profits by intelligently guiding customers to the best product choices and recommending additional products at point-of-sale. Companies also use Emcien’s analytics to optimize their product offering to capture demand at highest profit. Customers include Fortune 500 companies and manufacturers in the electronics, automotive and industrial sectors. Emcien was named a 2008 Cool Vendor in SCM and ERP 2008 by Gartner, Inc. To learn more, call 404-961-6360 or visit www.emcien.com.