Announcing Inventory Optimization

We’re excited to announce our latest media and ecommerce feature, Inventory Optimization.

What is Inventory Optimization?

The new Inventory Optimization tactic enables Chicory to perform real-time inventory checks for CPG clients as ads are served and optimize media campaigns away from stores where out of stocks occur. 

How does it work?

Chicory conducts an inventory check at the specific store closest to the user and, depending on the retailer, understands the following: if that product is sold at that specific store at all, if that product is in stock at that store at that moment or if that product was available on the current week but is now out of stock. Inventory Optimization is most frequently paired with Chicory Premium, in-recipe ad units that allow CPG clients to “own” ingredients, pair their products with related content or suggest swaps for alternative ingredients and provides an optimal user experience when utilizing shoppable components, ensuring that products are actually available for consumers to purchase. 

How will this help?

Faced with unprecedented consumer demand for their products both in-store and online during the early coronavirus outbreak, we witnessed grocery retailers and CPG manufacturers struggle to keep up as consumers increased their panic buying behaviors after seeing empty shelves and sold-out tags on ecommerce platforms. In order to minimize this behavior and cycle for CPG clients, Chicory’s strategic release of the Inventory Optimization feature ensures that consumers only see ads for products that are in stock at their local retailers. As a result, Chicory drives consumers toward the stores and ecommerce sites that currently stock their desired products and prevents consumers from encountering out of stock signs, which causes panic buying and negative user experiences.

Who does this help?

Inventory Optimization is most suitable for CPG clients that have concerns around targeting customers in areas where grocery stores may not have distribution of their products or have frequently changing distribution.

“We’re pleased to offer this new optimization tactic toward stores and retailers where a Chicory client's products are in stock,” said Chicory’s CEO and Co-Founder, Yuni Sameshima. “It’s more important now than ever for CPG companies, retailers and advertisers to work together to prevent the negative user experience that results from consumers encountering out-of-stock products, both in-store and online. At a time of great uncertainty and the evolving retail and ecommerce landscape, Chicory’s Inventory Optimization tactic mitigates the drivers that cause the cycle of panic buying consumer behavior and reduced inventory for retailers and manufacturers.”

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