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The supply chain tips that made Moose Toys a “Walmart Supplier of the Year”
Here are the supply chain best practices that helped the Moose Toys team earn Walmart Supplier of the Year.
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Testing in-store fixtures saves further investment
Toy brand maximizes marketing ROI with test-and-learn approach
Holidays are a peak selling season for this Alloy customer, whose toys are known as the gold standard in early childhood play. They invested in an in-store fixture for one of their newest product categories in hopes of driving sales during such a critical time period.
The fixture was installed in ~150 stores of one of their retailers, out of a total ~250 retailer stores that sold the category. It cost $500 per store, representing a $75K total investment for the promotion.
Key results
- $860K marketing spend saved and reinvested
Capabilities
- Experiments
- Automatic retailer point-of-sale data integration
- Custom group creation
The marketing team set up an Experiment comparing the sales performance of the category in the stores that had the fixture installed (test) vs. the stores that did not (control). They learned there was no noticeable difference in sales – the fixtures provided hardly any lift to those stores.
Based on these results, the brand decided to cancel planned rollouts of the same display at another retailer in the spring.
Instead of spending $500 per store to install the same fixture and receive no return at another retailer, the brand can make better use of that budget on other initiatives. Looking at just one of their key retailers, this insight from Alloy software unlocked about $860K of marketing spend.
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