Merchandising leaks and vendor diversification
Social posts flagged measurable revenue leakage from poor shelf compliance and planogram execution in Caribbean retail operations and recommended 2–3 rotated vendors per trade to avoid single‑source risk. Vendors like SHELF‑IQ were highlighted as tools to quantify gains from better execution. (x.com) (x.com)
Industry analysis finds fewer than 22% of retailers achieve over 80% on core shelf metrics (On‑Shelf Availability, Planogram Compliance, Promotional Compliance). (ihlservices.com) Market research firms estimate poor shelf execution is costing retailers about 3–5% of annual profits across categories. (verticalvendors.com) Caribbean retail audits show 55–75% of FMCG volume still moves through traditional trade (parlours, community grocers), with SKU availability gaps reported at roughly 15–25% in several island markets. (hoperesearchgroup.com) Dawgen’s regional analysis notes that many Caribbean merchandisers set visual standards centrally but rely on store‑level interpretation rather than measured compliance, creating execution variance across islands. (dawgen.global) Shelf‑IQ is marketed as a planogram automation and space‑planning tool for faster planogram execution, and edge/AI vendors such as ShelfExecution and FieldPie convert shelf images into real‑time compliance flags for rapid fixes. (nuqleous.com) A case study from a global FMCG brand reported a 20% sales increase after targeted shelf optimization and compliance audits. (nextyn.com) Procurement specialists recommend dual‑ or multi‑sourcing to cut single‑supplier exposure; industry guidance cites dual‑sourcing as a core resilience tactic and recommends setting dual‑sourcing quotas in targeted ranges to balance cost and risk. (gep.com) Operational playbooks advise a “lean dual‑sourcing” rollout to avoid overhead escalation (four‑step governance, standardized contracts, PO‑level systems), with regional merchandising partners already covering 300+ retail points in some Caribbean networks to facilitate vendor rotation. (supplychainconnect.com)