Gordon and Gotch utilise an enterprise resource planning application (JD Edwards) which has an allocations module to manage supply levels to retailers. It aims at delivering significant benefits for Publishers and Retailers through the maximisation of sales while minimising sell outs, i.e. optimum supply.
The primary function of our Allocations Team is to supply each individual retailer with the optimum supply of each title and each issue that they are ranged for.
As part of the allocation process, our analysts must ensure that copies are being sent to all outlets that sell or range a particular title.
Some key elements of the allocations process include:
• Analysis of promotions, seasonality and sales performance at the title and outlet level;
• Measurement of sales potential;
• Optimum supply calculation for each retailer, each title and issue;
• Automatic identification and treatment of consecutive sell outs;
• Automatic identification and treatment of abnormal sales via smoothing techniques;
• Sales Based Replenishment (coming soon)
The Allocations Team is also responsible for recommendations to publishers via insightful reporting.
Reports are produced at two key points:
• While magazines are on sale using predominantly EDI (electronic sales data from participating retailers) and Aztec (electronic major supermarket sales data). This forms the basis for forecasting final estimated sales.
• Once magazines have been returned, more detailed analysis becomes possible as actual data are available from all outlets.
While there is a suite of regular reports that are available to publishers, the allocations team are happy to adapt reporting to fulfill clients’ needs.