Infiniti’s Inventory Forecasting Solution Helped an Organic Food Company to Optimize Supply Chain and Efficiently Balance their Stocks

June 25, 2019

Inventory Forecasting for a Company in the Organic Food Market

The sales of organic food in Europe have skyrocketed over the past few years and is expected to grow further over the coming years. Major industry players are also undertaking strategic initiatives such as the introduction of a wide range of innovative products in the organic food market. With this, the future seems bright for organic food brands.

Although the organic food market is experiencing positive growth, they are also expected to face significant challenges. Identifying the target stock levels that are required to meet the rising market demands has become challenging for organic food companies. Also, organic food companies are facing heavy pressure to meet the market demand to better plan sales and production. Therefore, organic food companies are approaching firms like Infiniti Research to leverage their expertise in offering inventory forecasting solutions to tackle supply chain challenges.

With rapid changes in the organic food market, are you facing challenges in accurately predicting the potential product demand? Our inventory forecasting solution can help you tackle this challenge. Request a FREE brochure to gain more insights into our services and their benefits for your business.

Business Challenge

The client is an organic food supplier based out of Europe. The client wanted to streamline their supply chain structure for improving customer targeting, meeting market demands, and managing their inventory requirements. The client’s unstructured approach to supply chain management impacted their overall growth rate. This also impacted their sales rate and profit margins. The client, therefore, approached Infiniti Research to leverage its expertise in offering inventory forecasting solutions.

Other challenges faced by the organic food supplier were:

Inventory stockouts

With rapidly evolving customer needs and demands, the organic food supplier was facing difficulties in maintaining adequate stocks to meet customer demands. With this, the company constantly faced issues of stockouts. With Infiniti’s inventory forecasting solution, they wanted to reduce inventory stockouts and warehouse holding cost.

Shipping challenges

The client’s inability to manage the inventory requirements resulted in shipping challenges. This affected their sales rate and resulted in an increase in the churn rate. The client, therefore, wanted to accurately forecast the potential sales and manage their shipping.

Increasing product obsolescence cost

With increasing obsolete inventory, the client witnessed a dip in their overall revenue. With Infiniti’s inventory forecasting solution, the client wanted to accurately forecast the demand and reduce product obsolescence cost.

Solutions Offered and Value Delivered

The experts at Infiniti Research analyzed the client’s past sales data to predict seasonality and peak sales levels. The experts also identified market forces and potential demand for organic food products. They also analyzed the client’s key competitors to understand the organic product categories with high demand in the European market.

With Infiniti’s inventory forecasting solution, the client was able to adequately stock products to meet the market demands. This helped the client to reduce product holding time in the warehouse. Also, accurate inventory management helped them better manage manpower during peak periods. By being aware of product requirements, the client was able to improve supplier negotiation and improve their production cycles accordingly.

In the course of one year, the company was able to:

  • Optimize the supply chain and reduce food wastages
  • Optimize transportation processes
  • Balance their stocks effectively
  • Improve production cycle efficiency

Are you looking for ways to overcome inventory challenges in your company? If yes, our inventory forecasting solution can help. RFP to know how our inventory forecasting solution will help you effectively optimize your inventory.

Future of Organic Food Market in Europe

With the demand for organic food on the rise, the future looks bright for companies in the organic food market in Europe.  Furthermore, the rising healthcare concerns owing to the use of pesticides and herbicides is driving the demand for organic food in the European market. However, like all other industries, the organic food market is also encountering several challenges. Let’s have a look at some of the major challenges.


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