Consumer centric businesses have long acknowledged that changes in the weather can significantly affect their sales, often pointing to Mother Nature when discussing disappointing or better than-expected results. Weather volatility is a reality that makes it challenging for retailers and brands to plan effectively and keep inventories, operations, and resources aligned with shifting consumer demand trends. In fact, no other external variable has the ability to shift consumer buying behavior as frequently, directly, or meaningfully as the weather.
Planalytics and The Grayson Company (TGC) are partnering to help consumer centric businesses measure and manage the impact of weather. Through this partnership, businesses can identify exactly how much of their business is ‘at risk’ due to the weather. Measuring and quantifying weather volatility across an entire retail business is the critical first step that enables businesses to uncover areas of opportunity. Once identified, retailers can manage this impact both strategically and tactically, across various functional areas including planning, allocation, and replenishment.
Common benefits realized by retailers and brands who manage the impact of weather include:
• 30% annual forecast accuracy improvements on individual products.
• 5% annual improvement in top line / total business forecast accuracy.
• 2% to 6% improvements to net income annually by optimizing inventory and reducing lost sale.
Understanding and managing weather’s impact across the business remains a huge, untapped area for profit enhancement. Frederic Fox, CEO of Planalytics noted that “Our partnership with The Grayson Company enables consumer centric businesses to tap into the expertise of business executives who help them define, implement, and realize financial benefits from actioning the weather.”
According to Kevin Mullaney, CEO of The Grayson Company, “Weather volatility remains a constant impact to our industry. Historically, retailers and brands have used weather as an excuse for poor performance. It’s time for businesses to harness the power of analytics to proactively manage weather’s impact. The benefits are significant, can be achieved quickly, and are sustainable as well.”
Planalytics is the global leader in Business Weather Intelligence® helping companies effectively assess and proactively address how the weather impacts their business. Our analytics, online tools and services help companies measure and manage the financial impact of weather throughout all facets of an organization.
TGC offers a full range of consulting services to retail, e-commerce, wholesale and omni-channel businesses, as well as firms that invest in the consumer sector. TGC’s team is made up of successful retail and consumer industry executives who draw on their deep experience and expertise to provide best of class consulting services to our clients. The team share an obsession with delivering measurable results to our clients quickly and with high payback on the investment in our engagements.