Case Study: Faguo optimizes promotions and reduces residual stock with Verteego

How Faguo®'s marketing and sales teams reduced their supplier orders by 21% and increased their margin rate by 20% thanks to Verteego's recommendations

Faguo, a B-corp label ready-to-wear brand, was experiencing strong growth and sought to optimize its sales promotions while reinforcing its commitment to responsible consumption. The company enlisted Verteego to use machine learning to generate an optimal promotional timing plan. The goals were to rationalize supplier orders, optimize margins, and reduce residual stock.

Verteego implemented its platform, using key variables like sales history and carbon footprint alongside business constraints to model optimal markdowns. The results for the 2021 summer sales were significant. Verteego helped Faguo achieve a +4 point increase in margin rate on markdowns, a 21% decrease in supplier orders to avoid residual stock, and a reduction of 20 tons of CO2 equivalent in environmental impact.

Faguo

Olivier Caron

Head of sales