Achieving 25% Stockout Reduction for a Leading E-Commerce Retailer

Achieving 25% Stockout Reduction for a Leading E-Commerce Retailer
Industry

Retail

Function

Marketing, Operations

Technology
Location

United States

Company Overview

Our client is a leading retailer in the outdoor recreation and fitness equipment industry. Operating as both an e-commerce platform and an Amazon vendor, the company has built a reputation for providing high-quality bicycles, paddleboards, and other recreational products to active consumers worldwide.

The Challenges

The client faced several challenges, which we addressed with targeted solutions:

  1. Fragmented Data Sources: Data was spread across Shopify, GA4, Google Ads, Meta Ads, Amazon Vendor Central, Netsuite, and Snowflake, making it difficult to analyze and utilize effectively.
  2. Lack of Unified Reporting: Each department relied on different tools and metrics, leading to inconsistencies and delays in decision-making.
  3. Inefficient Marketing Spend: Without cross-platform visibility, the client struggled to optimize advertising budgets and measure campaign ROI.
  4. Inventory Management Issues: The absence of integrated inventory data led to frequent stockouts and excess inventory, impacting customer satisfaction and revenue.
  5. Scalability Concerns: Existing systems lacked the flexibility to support the client’s growing data needs and business operations.

Our Approach

SR Analytics partnered with the client to design and implement a robust data analytics and business intelligence (BI) solution. Here’s how we approached the project:

Achieving 25% Stockout Reduction for a Leading E-Commerce Retailer
  1. Data Integration
    • We extracted data from multiple platforms:
      • Shopify for e-commerce transactions
      • GA4 for website analytics
      • Google Ads and Meta Ads for marketing performance
      • Amazon Vendor Central for vendor-specific sales data
      • Netsuite for financial and inventory management
      • Snowflake for existing data storage
    • All data was consolidated and transformed into a unified structure within a centralized data warehouse in Snowflake.
  2. Data Warehouse Implementation
    • Leveraging Snowflake’s scalable cloud-based architecture, we designed a data warehouse to handle the client’s growing data volume.
    • The warehouse included automated data pipelines for real-time updates, ensuring fresh and accurate insights across all operations.
  3. Customized BI Dashboards
    • Using industry-leading BI tools, we built dynamic dashboards tailored to the client’s needs. Key features included:
      • Sales Analysis: Real-time sales performance across Shopify and Amazon.
      • Marketing ROI: Cross-channel attribution and campaign performance insights from Google Ads and Meta Ads.
      • Inventory Management: Tracking and forecasting stock levels via Netsuite data.
      • Website Performance: Traffic and conversion rate analysis from GA4.
  4. Advanced Analytics and Reporting
    • We implemented advanced analytics models to provide actionable recommendations, such as identifying top-performing products, forecasting demand trends, and optimizing ad spend.
    • Automated reporting workflows ensured stakeholders received timely updates.

The Results

  • Improved Efficiency: Unified data sources reduced manual effort, allowing the client to focus on strategy rather than data wrangling.
  • Enhanced Decision-Making: Comprehensive dashboards provided clear visibility into sales, marketing, and operations.
  • Increased Sales: A 15% increase in online sales within six months of implementation.
  • Higher Marketing ROI: A 20% improvement in advertising efficiency, resulting in better allocation of marketing budgets.
  • Optimized Inventory Management: A 25% reduction in stockouts, leading to improved customer satisfaction and retention.
  • Scalability: The Snowflake-based solution was designed to grow with the client, supporting future data and analytics needs.

quotes 2
SR Analytics transformed the way we view and use our data. Their expertise in integrating multiple data sources and building intuitive dashboards has significantly boosted our ability to make informed decisions. The ROI on their solution has been incredible

COO, E-commerce Company