Adopting a tailored approach to replenishment has helped Sally Europe improve its financial performance by delivering increased stock turn and improved cash flow.
Slimstock announced that Sally Europe, the UK and Continental Europe operating arm of Sally Beauty, has leveraged its forecasting, replenishment and supply chain optimisation platform, to support a transformation initiative.
Designed to enhance forecasting and ensure more responsive replenishment, the retailer says it is seeing a 2% on-shelf availability improvement; 5% reduction in working capital tied up in stock; and improved cash flow.
“Our supply chain strategy is clear: optimise our operation to maximise availability, create value, and deliver service excellence to our customers. However, in this VUCA world, uncertainty can lead to overstocking and stock-outs, resulting in missed sales opportunities and high costs,” said Nora Mebarka, Head of Supply and Demand Planning at Sally Europe.
“Having the best tool alone isn’t enough; you need skilled people and expert support to succeed. Thanks to the winning combination of my motivated and committed team with Slimstock’s knowledgeable consultants and responsive helpdesk, we have the perfect ingredients for seamless collaboration.”
She adds, “There is no one-size-fits-all approach to supply chain strategy. It is vital that we differentiate our approach by considering the channel and the product type.”
“With an adaptive forecasting and replenishment foundation now in place, we can differentiate our supply chain strategy to deliver the best service to our customers. The results speak for themselves: we have increased on-shelf availability by 2%, instilling confidence in our entire operations team.”
Adopting a tailored approach to replenishment has also helped Sally Europe improve its financial performance by delivering increased stock turn and improved cash flow while reducing working capital tied up in stock.
Slimstock’s supply chain platform supports dynamic inventory transfers across the network, prioritising inventory on strong performing locations to maximise revenue, prevent excess inventory, and minimise risk of obsolescence.
“We are now more responsive to emerging customer trends, allowing us to ensure optimal stock coverage across our network while maximising the capacity of our distribution centre,” says Mebarka.
By helping Sally Europe to better utilise its available stock, the retailer can maintain higher levels of availability without needing to place additional orders with suppliers.
“Rather than discounting or writing off excess stock, we now prioritise inventory for high performing locations, ensuring optimal availability and maximised full-price-sell- through. This innovative approach has helped us significantly improve our return on investment by reducing working capital tied up in stock by 5%.”
She concludes, “Our enhanced forecasting and replenishment processes are already yielding great results.”
“We are now working with Slimstock to embrace AI and machine learning to further optimise our promotions. With Slimstock’s continued support and expert guidance, there is no limit to what we can achieve.”