Growing retailer automates ordering and forecasting to drive data integrity and optimize shelf space.
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Customer
Headquartered in Ontario, CA, Cardenas Markets operates 65 stores under the Cardenas banner and 8 stores under the Los Altos Ranch Market banner. Cardenas Markets is one of the largest Hispanic grocery chains in the country today with stores in California, Nevada, and Arizona.
Roadblock
Store ordering processes for Cardenas were manual and highly reliant on the judgment of store associates, which often led to over-ordering, misallocation of shelf space, affected profit, and significant food waste. Operational decision making was delayed by mistrust of store data coming from multiple point solutions—a challenge only worsened by product shortages and demand surges during the COVID-19 pandemic.
Solve
Upshop’s Computer Generated Ordering (CGO) optimizes inventory based on consumer demand, real-time perpetual inventory, and a retailer’s business parameters. Advanced algorithms and machine learning automate ordering and make smarter merchandising decisions while enhancing everyday operations in space allocation, promotional planning, and DSD vendor management.
Impact
With Upshop, Cardenas has optimized inventory by Store/UPC/Day to maximize on-shelf-availability while minimizing backstock, achieving a “truck-to-shelf” goal —meaning exactly the right quantities needed for item replenishment arrive for each delivery. Merchandise received then moves directly to the sales floor with minimal need for backstock—yielding happier customers, increased sales, faster turns, fresher product, and improved overall financials.