Predictive Inventory Management for Fashion E-commerce
Developing a machine learning solution that reduced excess inventory by 23% and stockouts by 45%, resulting in a 15% increase in profit margins.
The Challenge
A growing fashion e-commerce brand was struggling with inventory management, resulting in both excess stock and frequent stockouts. Traditional forecasting methods were failing to account for rapidly changing fashion trends and seasonal variations.
Our Solution
We developed a custom machine learning solution that analyzed historical sales data, social media trends, seasonal patterns, and competitor pricing. The system provided accurate demand forecasts and automated reordering recommendations, integrated directly with their existing inventory management system.
Results
- 23% reduction in excess inventory
- 45% reduction in stockouts
- 15% increase in profit margins
- 12% improvement in cash flow
- ROI achieved within 6 months of implementation