Opportunities: How Are Range Adjustment Opportunities Identified?

To determine what opportunity a product group falls into, we assign every product theme (group of products with similar characteristics) a uniqueness score and trend classification. 

• Uniqueness score is determined by how many products are found within that theme, either in our assortment, competitors' assortment, or both. 
• Trend classification: based on performance factors gathered from the products (e.g. newness, discounting, replenishments) to identify it as either a top mover, struggling, or clearance. 
  • Top mover: Product is less than 120 days old, has had price increases, a sell-out event, and/or restock. 
  • Struggling:  Product is more than 120 days old, discount is greater than the first discount. 
  • Clearance: Product is more than 120 days old, has had a sell-out event with no restock and/or discount greater than the first discount.
  • Core performer: Product is more than 120 days old with no sign of being on clearance.
  • Neutral: Product is less than 120 days old and neither a top mover nor struggling.

For example, if something is unique to our competitors (high uniqueness) and is a top mover, this theme may then be something that we would suggest to introduce. To help determine where product groups should sit, we plot them on a uniqueness-performance graph.