Winning in January 2014 Report - Available now!

Product availability in January has been a challenge for the fast moving consumer goods industry for many years for both retailers and suppliers. In 2009, the Board of ECRA first identified improving January service levels between suppliers and retailers and between retailers and their stores as a major opportunity for the industry players to collaborate under the banner of Winning in January.  

In 2014 ECRA has again undertaken a data based approach to reviewing service performance levels into stores for the period over Christmas and New Year and the month of January 2014. The data capture was undertaken with the collaborative support of retailers Coles, Metcash Trading and Woolworths Limited. For the first time, a New Zealand perspective has been included thanks to support and participation on the parts of Progressive and Foodstuffs. 

The resultant 2014 ECRA Winning in January Review is the fifth iteration of this annual fact based suite of key industry results pertaining to optimising service performance and sales across Christmas and January. Disappointingly, with six year’s data now available, comprehensive industry improvements have yet to materialise. The headway made in January 2010 has not been repeated calling into question the sustainability of process improvements made over the past years. 

ECRA remains committed to working with industry to further improve On Shelf Availability (OSA) and as such intend to refocus industry efforts on this important initiative ahead of January 2015. As such, this year’s report should be used to inform your business, prepare for 2015 and act as a catalyst for further discussion with your trading partners.

The 2014 ECRA Winning in January Review can be ordered here.

Staying Ahead of the Game Report - Order your free copy now!

New Report Focussed on the Impact of New Technology on Loss

ECRA’s Loss Prevention Forum members, along with our academic partners have been undertaking an initiative titled ‘Staying Ahead of the Game - Managing the Impact of New Shopping Technologies’. The findings to date has been captured in a comprehensive report authored by Dr Emmeline Taylor, Convenor of Criminology and Senior Lecturer at the Australian National University, and supported by researchers from the University of Technology Sydney. 

The way in which customers select their purchases and pay for them is rapidly changing. As new technologies emerge onto the market, retailers and suppliers are facing the challenge of reconfiguring systems to accommodate increasingly mobile customers who expect multichannel options supporting quick and secure digital payment. 

Whereas Self-Check-Out redefined the retailer-customer dynamic, the introduction of mobile payment platforms is set to revolutionise the relationship between retailer and customer. Mobile scanning and mobile payment creates a ‘disconnect’ in the customer journey, presenting new challenges for those charged with preventing loss as the new technologies give rise for potential for ‘shrinkage’ attributable to fraudulent behaviours, malicious theft (both customer and employee), and non-malicious theft through customer or staff or system error. 

In discussion about the importance of the study Dr Taylor noted that, “The introduction of any new technology, service or process will generate a range of risks, vulnerabilities, security issues and training needs. Recognising the significant potential for loss, mobile payment processes must be safe and secure from the outset.  

“We saw this with the introduction of self-checkout in Australian retail. It is not entirely clear whether there has been a significant increase in the actual amount of loss, but we do know that self-checkout has increased the number of ways retailers suffer losses. We can expect similar hiccups with the introduction of new mobile scanning and mobile payment systems, as they potentially create a new set of shrinkage problems.” 

“In order to limit shrinkage, protect their profits and provide optimum service to their customers, retailers will need to pre-empt these issues and ensure that any potential security risks are anticipated and safety measures are put in place,” concluded Dr Taylor. 

The report builds a strong view of the various types of mobile selection and payment technologies and the business case for their roll out, before turning attention to the potential risks to loss and key considerations for retailers as they take up the technologies. The report also references key learnings from the introduction of self-check-outs through the 1990’s and early 2000’s. 

ECRA is currently investigating further opportunities to study the issues surrounding the implementation of new technologies and their potential impacts on shrinkage in greater depth and in doing so to provide additional insight to the retail industry to assist practitioners in their ongoing efforts to stay ahead of the game. 

The report can be ordered here

Carton Identification Guidelines - Available for free download

A set of industry guidelines, Carton Identification, deliver practical suggestions on how to label cartons to ensure the choice of the correct product and rotation of stock through the supply chain is achieved. The guidelines focus on distribution centre, back of store and shelf replenishment processes.  

The aim of the guide is to help to produce cartons that are easy to identify to assist in the shelf replenishment process and ensure product is available for sale when the shopper wants it. The guide is relevant to all grocery retail categories.  

The Guidelines have been endorsed by Coles and Woolworths and are an adjunct to (not a replacement of) the retail specific specifications. 

The Guidelines can be downloaded from the ECRA website here. 

On-Shelf Availability - Suite of useful information available

2001 - A Guide to Efficient Replenishment and Reducing Stock Outs within the Grocery Industry.

2008 – Published major survey regarding progress, current issues and future directions in the area of OSA for the Australasian industry and release of the report The On-Shelf Availability Challenge 2007-2008.

2009 – Published blue book On-Shelf Availability Improvement Roadmap as a framework for engagement for business partners wishing to undertake OSA improvement projects and to progress a common language. 

2009 – Winning in January a focus on delivering improved service levels throughout the month of January. Included How to Win in January; Winning in January Toolkit; and Winning in January 2010 Review.

2010 – Published industry report Winning with Promotions following a supplier survey, store audits and industry seminars. The report provides insight, priority work areas and improvement advice to industry. It was supplemented by (confidential) retailer specific reports into business areas of opportunity.

2011 – Winning in January 2011 Review published, detailing industry level results for January  along with a series of case studies.

2012 – Winning in January 2012 Review published, detailing industry results for 2012 January

2012 – Winning at the Shelf - Key Insights into Causes of Out of Stocks at the Shelf Oct 2012 - the report aims to improve understanding of the key factors impacting OSA at the shelf. The focus is on the in-store replenishment process, with an aim to understand the key issues faced by store personnel in ensuring that the product existing within the store building is replenished to fixtures - both shelf and display - in a timely fashion to avoid out of stocks. 

2012 – Carton Identification 2012 – provides practical steps to assist in easy identification to facilitate the choice of the correct product and rotation of stock through the supply chain with particular emphasis on distribution centre, back of store and shelf replenishment processes.   

2013 - Winning in January 2013 Review published, detailing industry results for 2013 January.