Castor Foods
A range reset that paid for a new distribution centre.
Result
+2.1 pts
Sector
Consumer & Retail
Practice
Strategy & Corporate Finance
Duration
8 months
01
The challenge
Castor carried 40% more products than its closest competitor, but a fifth of them sold less than one unit per store per week.
02
What we did
We combined loyalty data with store-level sales to see which products customers would switch from and which they would leave the store for. Buyers and store managers reviewed every category.
03
What changed
The range shrank by 18% with no loss in sales. Gross margin rose 2.1 points, and the freed working capital funded a new distribution centre.
“
We cut almost one product in five and our customers barely noticed — except that shelves were fuller.
Chief Commercial Officer, Castor Foods