Top Retailer Develops Two New Store Concepts Resulting in Exponential Sales Growth

RetailCo* is a top retailer of general merchandising tools, home appliances, clothing, auto parts, and services focused on seamlessly connecting the digital and physical shopping experience. Yet, heavy dependency on a former parent company had backed them into a corner, quickly eroding their margins. Ready to move forward on their own, they called on Sprosty.

Our Roles:

  • Growth Strategy
  • Pragmatic Innovation
  • Consumer Channels

The Challenge

RetailCo relied heavily on their former parent company for merchandising, brand, supply chain and traffic.

Due to their dependency, however, they possessed zero ability to show the breadth of product assortment and services in-store. As a result, they watched as their margins fell. Falling margins resulted in the inability to tap into new territory, leaving RetailCo with two options: innovate or fall behind.

The Solution

A Team² Approach to Reinvent the Go-To-Market Strategy & Business Model

The Sprosty team began by utilizing machine learning analytics to identify unmet needs for RetailCo’s rural customers. We identified new segments and product categories, intersecting insights, technology and core competencies. As a result, our team developed a new Agile innovation capability for RetailCo.

We then used our Team² approach to provide RetailCo with custom-designed tools and processes that accelerate collaboration and innovation. We curated workshops with corporate teams and store owner-operators to gather input, build actionable strategic plans, and disseminate information to all levels to drive learning and the transfer of knowledge.

The Result

Two New Store Concepts & a Branded Leadership Development Process

Sprosty’s work resulted in benefits that are two-fold. First, RetailCo became inspired by Sprosty’s Team² approach and adopted it within their company, creating a branded leadership development process used today for field and corporate innovation.

Furthermore, RetailCo adopted two new store concepts for testing and in-store technology to bring their long-tail product and service assortment to life. These first two concepts replaced 50% of the merchandise targeting women, resulting in higher engagement of owner-operators and exponential sales growth of the core business.

RetailCo adopted the Team² approach, creating a branded leadership development process used today to further innovation within the company.

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Two new store concepts resulted in increased owner-operator engagement and exponential sales growth of the core business.

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Those same concepts are now used for testing and in-store tech which will help the company bring their long-tail product and service assortment to life.

*We take our clients’ confidentiality seriously. The results are real, the company name isn’t.

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