Case Study: Omnichannel Supply Chain Network achieves 15% DC inventory reduction, double-digit store inventory cuts and higher customer satisfaction with Teradata Demand Chain Management

Driving Customer Satisfaction and Inventory Management Success in a Regulated Market

This specialty, government-run beverage alcohol retailer operates more than 650 stores plus catalog, online and wholesale channels, offering roughly 24,000 products from 80+ countries. Its complex omnichannel supply chain—direct imports, centralized replenishment, online fulfillment and wholesale support—was hampered by inconsistent demand forecasts, excessive safety stock, manual order overrides, lost sales from out-of-stocks, and high DC and store labor devoted to inventory management rather than customers.

The company implemented Teradata’s Demand Chain Management (forecasting, clustering, new‑product introduction, trend/adaptive and multi-echelon replenishment) to automate forecasting and optimize allocation across a hybrid push/pull model. Results included a 15% reduction in distribution center inventory, double‑digit store inventory reductions, store ordering time cut from four hours to under 30 minutes, a 4‑point rise in customer satisfaction, improved margins from fewer misallocations, and more than a 25% sales increase (2010–2014) — over $1 billion in additional revenue.