The Client, one of the world’s largest global apparel brands, has embarked on a mission of becoming a “digital apparel company”, staying at the forefront of AI innovation to optimise its processes and improve customer experience.
Since the onset of the pandemic, the client has been focusing on better understanding the fast-evolving consumer behaviour and the market dynamics leveraging predictive analytics, big data, AI, Machine Learning (ML). They wanted to utilise new external data sources such as Covid parameters, macroeconomic indicators, mobility data, social distancing regulation and tourism data in order to revamp their Merchandising Planning Process- to enable faster and more accurate data driven decision.
Deploying predictive analytics at scale required a modern AI-enabled cloud data platform and a variety of rare skills. To address this challenge the client turned to Data Reply, a specialist in big data, data engineering and AI ML who could provide a team of specialists augmenting the client’s internal resources to deliver necessary support and accelerate time to value.
Amazon SageMaker and Dataiku platforms were used by Data Reply to develop machine learning models enabling AI based insights and recommendations in three key areas:
• Demand Forecasting & Sell-through predictions
• Pricing & Markdown Decisions
• Inventory optimisation (intra-store transfers to minimise overstock and stock–out)
The human feedback loop helped with model improvements, with achieving a more trusted, accepted by the business AI
Data Reply specialists were responsible for:
• Migrating existing databases and pipelines onto a secure, scalable AWS cloud environment ensuring compliance and standardisation across global data teams
• Data ingestion, building ETL pipelines to facilitate domain-specific reporting on specified KPIs and generating alerts
• Ethical scraping and collection of external data obtained from reliable third-party vendors
Better decisions resulted in a five-fold increase in ‘sell through’ rate, as well as an increased Gross Margin in $millions in the initial 6 months pilot
Improved productivity from the decision automation, taking away the ‘heavy lifting’ from the client’s team allowed client’s specialists to focus on more value add, strategic activities
The AI enabled robust scalable platform improved the demand forecast capability and created a ‘smart start ‘ for adding new business cases to improve customer experience and operational efficiencies.
Data Reply is the Reply group company offering a broad range of advanced analytics and AI-powered data services. We operate across different industries and business functions, enabling them to achieve meaningful outcomes through effective use of data. We have strong competences in Big Data Engineering, Data Science and IPA; we build Big Data platforms and implement ML and AI models in a manner that is repeatable, efficient, scalable, simple and yet secure. We supports companies in combinatorial optimization processes with Quantum Computing techniques that enable an engine with high computational performances.