#shelfmonitoring

[nidhimishra5394]

On-shelf availability solution market experiencing robust demand due to rising interest in real-time intelligence

In today’s competitive retail landscape, ensuring that products are available on shelves when customers are ready to buy is more than a logistics challenge it is a strategic imperative. The On-Shelf Availability (OSA) solution market has emerged as a critical enabler for retailers and suppliers aiming to enhance customer satisfaction, drive sales, and reduce operational inefficiencies. As consumer expectations evolve and technological capabilities expand, the on-shelf availability solution market is undergoing rapid transformation, fueled by innovations in automation, data analytics, and artificial intelligence.

Understanding On-Shelf Availability

On-shelf availability refers to the presence of products in the right place, at the right time, and in the right quantities on store shelves. When products are out of stock, not only do sales suffer, but customer loyalty can be eroded. Research indicates that out-of-stock events result in lost sales of up to 8% for retailers, a significant figure in a low-margin industry.

OSA solutions are designed to combat this problem through real-time monitoring, predictive analytics, and responsive replenishment systems. These tools provide end-to-end visibility into the supply chain and store operations, enabling proactive identification and resolution of availability issues.

Market Drivers

Several factors are propelling the growth of the OSA solution market:

Rising Consumer Expectations: Today’s consumers expect seamless shopping experiences, both in physical stores and online. The inability to find desired products in-store often drives them to competitors or online alternatives. OSA solutions help retailers meet these expectations consistently.

Technological Advancements: The integration of IoT, AI, computer vision, and machine learning is revolutionizing how retailers monitor inventory. Smart shelves, RFID tagging, and shelf-scanning robots are increasingly being deployed to automate data collection and improve accuracy.

Shift to Omnichannel Retail: With retailers operating across multiple channels, maintaining accurate inventory across platforms is essential. OSA solutions ensure that inventory data is synchronized, enabling better fulfillment strategies such as buy-online-pick-up-in-store (BOPIS).

Supply Chain Disruptions: Global events such as the COVID-19 pandemic have highlighted the fragility of supply chains. In response, retailers are investing in OSA tools that provide early warnings for potential stockouts and optimize replenishment processes.

Focus on Operational Efficiency: Retailers are under pressure to control costs while improving service levels. OSA solutions support these objectives by reducing manual labor, minimizing inventory holding costs, and streamlining in-store operations.

Competitive Landscape and Key Players

The OSA solution market is characterized by a mix of established technology firms and innovative startups. Key players include Zebra Technologies, SAP, Oracle, Avery Dennison, and Trax. These companies offer diverse solutions ranging from handheld inventory scanners to sophisticated AI-powered image recognition systems that assess shelf conditions.

Retailers are also partnering with supply chain technology vendors and consultants to implement tailored OSA strategies. Customization, scalability, and integration with existing retail systems are critical factors influencing vendor selection.

Challenges to Market Growth

Despite its potential, the OSA solution market faces several challenges:

High Implementation Costs: Advanced OSA technologies can be capital-intensive, particularly for small and mid-sized retailers. The cost of sensors, infrastructure, and training can be prohibitive without clear short-term ROI.

Data Integration Issues: OSA tools must integrate seamlessly with point-of-sale (POS), ERP, and warehouse management systems to be effective. Data silos and legacy systems can hinder real-time visibility.

Privacy Concerns: Some OSA technologies, especially those involving video and image capture, raise concerns about customer privacy and data security.

Change Management: Organizational resistance to adopting new technologies can delay or limit the impact of OSA implementations. Training and leadership support are essential to ensure successful adoption.

Outlook and Opportunities

The future of the OSA solution market appears robust, with steady growth anticipated across global regions. North America and Europe are currently leading in adoption, but Asia-Pacific is expected to experience the highest growth rate due to the expansion of modern retail and e-commerce.

Emerging trends include the use of generative AI to forecast demand with higher precision, edge computing for real-time analytics at the store level, and integration with sustainability initiatives to reduce waste through smarter inventory practices.

Retailers that embrace OSA solutions not only stand to improve availability and reduce lost sales but also gain a competitive edge through enhanced operational agility and customer loyalty. As technology matures and becomes more affordable, broader adoption across all retail tiers is expected.

[mfilterit]

Is lack of Accurate Stock Availability Metrics Impacting your Ecommerce Revenue?

Product availability is the key issue for brands looking to expand their presence across the fast-paced E-Commerce landscape. With the expansion of new categories that cater to shoppers’ last-minute needs, quick commerce platforms are expanding their horizons. There is a need to measure and monitor stock availability performance across platforms and geographies. Customer loyalty is affected by availability issues as the industry figures suggest that 20-30% of customers may switch to competitors permanently after encountering product unavailability. Also, Tier 2 and 3 cities may face upto 20% more disruptions due to logistical challenges caused by lack of accurate and high-quality availability metrics. 

Let’s dive deeper and assess the core issues that brands face on ecommerce and quick commerce platforms. It is important that digital first customer-facing product-oriented brands today understand that reducing out-of-stock occurrences can lead to a lift of revenue by 5-8% with real-time business intelligence and insights.  

To know more visit: Is lack of Accurate Stock Availability Metrics Impacting your Ecommerce Revenue

[mfilterit]

E-commerce Shelf Monitoring – A Competitive Advantage in the Digital Commerce Ecosystem

The e-commerce landscape has expanded across India beyond anyone could have expected 5 years ago. New startups are challenging the big brands in the digital commerce ecosystem. 

A Shelf Monitoring framework in place could simplify the process with seamless optimization across e-commerce platforms and geographies. Here are some steps that can help streamline e-commerce Shelf Monitoring.

Identify if you’re underperforming on key measures. Clearly set a checklist to illustrate – How is it measured? Set targets and notification process on where you stand on core KPIs like availability, share of search, primary and secondary PDP content, rating and reviews, seller performance (authorized and unauthorized), price parity, and more.

Click here to read more about the Shelf Monitoring.