Family Dollar optimizes assortment with predictive analytics

Family Dollar is refining its merchandise assortment strategy.

The discount retailer is leveraging predictive analytics technology and actionable data from First Insight in an effort to ensuring that it offers merchandise aligned with the most current consumer expectations and shifts in the market. 

Family Dollar hopes the solution will enable it to successfully launch new products, as well as reduce markdowns and stock shortages while curbing the influx of underperforming products. The retailer seeks to support its strategy of driving sales across all categories with value pricing.

The retailer is revamping its merchandising capabilities as it is also enhancing its mobile shopping experience. Family Dollar has been updating the user interface and navigation of its mobile app since fall 2023 with new and improved features including a redesigned mobile wallet that helps shoppers manage coupons, intelligent product search capability, in-app e-commerce, personalization capabilities, and a modernized rewards experience.

[READ MORE: Family Dollar revamps consumer app]

"Listening to our customer and inspiring her with everyday essentials and must-have items of the season is at the core of everything we do," said Bonita Price, senior VP of merchandising at Family Dollar. "First Insight’s platform gives us fast, actionable insights into our customers' preferences, which has already provided significant value. We are excited to see this partnership grow."