Artificial Intelligence

Executing merchandise optimization, or at least performing it so the end game is won, can be confusing and convoluted since “optimization” seeps into almost every retail activity. Are we talking assortments, space, price, promotion, categories, merchandise or some combination?

Terms are irrelevant. Results are not. Merchandise optimization must deliver and reverberate success among every store and online channels. It must drive shopper loyalty, and must be executed to maximize margins, beat competitors and draw in your shoppers.

IBM aims to increase the solutions and services it offers the retail industry with two new centers. On Sept. 24, IBM opened a new global headquarters for IBM Commerce and new hub for its Watson artificial intelligence platform in San Francisco.

In addition, IBM is partnering with The Fung Group on a new large-scale laboratory for rapid experimentation with omnichannel retail technologies, which opened in Shanghai, China on Sept. 24.

For specialty men’s apparel retailer Knot Standard Inc., custom fit is everything.

The New York-based omnichannel retailer, with seven showroom stores in the U.S. and Dubai, as well as a global e-commerce business, tailors clothing to its customers’ dimensions. This customized approach also fits its IT strategy.

“We built all our systems from scratch using PhP [development language],” explained Matthew Mueller, CEO and co-founder of Knot Standard. “There is no off-the-shelf technology.”

When it comes to keeping supply chain and logistics operations as efficient as possible, retailers are getting smart. Using centralized cloud platforms and business intelligence solutions, merchants can achieve real-time inventory awareness and supply chain operational data that improves overall front- and back-end performance.

Here are three examples:

Gap

Lowe’s Companies Inc. is trying to make its Iris smart home solution more accessible. The home improvement retailer is the newest participant member of the ZigBee Alliance.

Launched in July 2012, Iris by Lowe’s is a smart home solution created to monitor and control virtually everything in the home anytime, anywhere. Lowe’s is the most recent of 450 members currently working to develop and promote ZigBee Internet of Things (IoT) standards.

Membership buying club DirectBuy is taking its direct sales model to a new level of directness. The retailer has launched the My DirectBuy mobile app.

The iOS and Android app allows DirectBuy to search for products, browse promotions, and place and track orders on the companion My DirectBuy website.

The best means of online fraud remediation is to flag and prevent fraudulent transactions before they are processed. But what are the telltale signs of a fraudulent account?

A new infographic from antifraud software provider Sift Science highlights some common risk factors retailers should look out for. For example, if three other accounts share a shipping address, it is four times more likely to be fraudulent. If two other accounts share the same credit card, it is five times more risky.

Walmart has returned to its acquisitive ways in Silicon Valley with the purchase of PunchTab, a four-year old company with talent and technology to help the retailer’s Sam’s Club division better personalize offers.

Jeremy King, head of WalmartLabs, and Jamie Iannone, president and CEO of Samsclub.com announced the deal to acquire PunchTab in a joint statement on the @WalmartLabs site. The deal involves the purchase of PunchTab’s and six employees who will join WalmartLabs including founder Mehdi Ait Oufkir.