Dick’s Sporting Goods uses data to gets its product right
Dick’s Sporting Goods is using predictive analytics to optimize its merchandise assortment.
With a focus on getting its product right, the retailer announced a multi-year expansion of its partnership with First Insight. Dick’s has been using the company’s consumer-driven predictive analytics for nearly three years to make design, buying and pricing decisions on its branded and private label products in multiple categories, including sports equipment, apparel, footwear and accessories. The platform has helped the retailer better understand how to capture market share and has helped it to make more informed product assortment, initial price and price promotion decisions.
“First Insight is a critical element in the success we have achieved as a company over the last three years,” said Will Swisher, senior VP, merchandise planning, allocation and replenishment at Dick’s Sporting Goods. “They have helped us rationalize our product assortments and are an instrumental partner in the day-to-day decisions of our product development and merchandising teams.”
First Insight uses online social engagement tools to gather real-time preference, pricing and sentiment data on potential product offerings. The information is filtered through the company’s predictive analytic models to determine which products and price points present the greatest opportunity. The solution is enabling Dick’s to evaluate a greater number of products and thus make a larger investment in products that are predicted to perform well, while eliminating those that won’t, according to First Insight.
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