Unleashing Wholesale Tech that Embraces Real-Time Data, Removes Silos and Avoids Costly Mistakes

Many wholesalers may not realize that challenges in the technology they’re using come from using tools that are not specifically designed for their wholesale business model. The first, and biggest challenge is with Excel, a platform that has no standard practices across multiple accounts, is extremely tedious and time-consuming and is prone to errors. The second challenge is when wholesalers make the leap to a new platform, only to find out that what appears to be an effective solution on the surface has hidden roadblocks because the tool was actually built for retailers. 

By making the shift to tools specifically designed for wholesale operations, businesses can gain better visibility, more accurate forecasting and the ability to streamline their processes. Wholesalers will also be in the position to get out of “Excel hell” and leverage real-time data, remove silos across departments, enjoy better planning and increase sales by understanding what sells and what doesn’t.

employee in a tech-forward warehouse

It’s Time to Ditch Excel for Critical Wholesale Operations

Many wholesalers still rely on Excel to manage critical operations like account planning, inventory tracking, production schedules and sales data. While Excel might seem like a flexible tool, it often leads to data silos where different departments are working with outdated or incomplete information. Spreadsheets are prone to manual errors, such as incorrect formulas or misentered data–which can result in costly mistakes. Excel doesn’t provide the big-picture view needed to make quick, data-driven decisions. 

Take for example a wholesaler managing multiple accounts. If the account management tool isn’t linked to the production system, key information, like sudden changes in order size or delivery timelines don’t get communicated efficiently, resulting in misaligned expectations, late deliveries and frustrated clients. 

In contrast, adopting real-time data tools give wholesalers a single source of truth that enables faster, smarter decision making. Real-time systems provide up-to-the-minute insights on inventory levels, order status and production progress, allowing teams to react to changes instantly. If a sudden increase in orders occurs, real-time data allows production to ramp up immediately, ensuring the business can meet demand without delays.

Wholesale Tech Platforms Reveal Meaningful Data that Drives Profits

Wholesalers operate in a fundamentally different space from retailers. This area of retail needs a system that helps manage production timelines, track multiple accounts and fulfills complex bulk orders. They rely on tools that can track production schedules across various manufacturers, allowing them to potentially help retailers bring goods to market earlier, provide insights into items that will have higher sell-throughs and potentially increase orders of items that have sold well. Wholesalers need tools that have the sophistication to handle large, multi-location warehouses, seasonal inventory cycles or forecasting based on bulk orders. Excel certainly won’t help effectively avoid missed opportunities to optimize order fulfillment and doesn’t provide real-time data or the ability to understand where pockets of opportunity to save time and money can be found.

Even other types of retail systems that are not designed specifically for wholesale end up prioritizing individual sales, consumer behavior and small-batch inventory management. These tasks don’t translate well to the wholesale environment.

Meaningful Outcomes that Avoid Common Pitfalls

One of the most significant advantages of using a platform designed specifically for wholesalers is accurate forecasting for production buys. Wholesale businesses often deal with large quantities and longer lead times, so having tools that can analyze bulk order trends and predict future demand is essential.

For example, a wholesaler supplying clothing to large retailers can use wholesale-specific forecasting tools to determine how much fabric to order for production months in advance, ensuring they meet demand without overcommitting to resources. These tools help avoid common pitfalls such as underbuying, which leads to stock shortages, or overbuying, which results in excess inventory that ties up capital.

Another key benefit is the ability to improve order fill rates with tools that are designed to track and optimize the entire order process. These systems allow wholesalers to manage bulk orders, ensure timely production and coordinate shipping schedules effectively. This leads to better fill rates, meaning that orders are fulfilled accurately and on time.

Wholesale tools also emphasize account planning rather than location-level planning and allows businesses to track the specific needs of each account, such as seasonal buying patterns or bulk order preferences and tailor their production accordingly.

A Unified Source of Truth by Connecting Inventory, Production, Sales and Accounting

For wholesalers, full system integration is the cornerstone of efficient and effective operations. When all systems, including inventory, production, sales and accounting are connected, the data becomes a single, unified source of truth. Instead of departments working in isolation, everyone has access to real-time, cohesive information that reflects the current state of the business.

When a sales team enters a new order, that information immediately updates inventory and production systems, ensuring everyone is aligned. This eliminates the need for manual data transfers or constant back-and-forth communication, reducing errors and preventing miscommunication.

When systems are fully integrated, wholesalers gain control over their operations. For wholesalers, integration isn’t just an upgrade. It’s the difference between chaos and control. 


Read the original article on Fashion Mannuscript here.

To learn more about our AI-based wholesale solutions, email us at info@7thonline.com or book a demo with our team.

Insights from Max Ma: Retail SaaS & Innovation in the Industry

Max Ma, CEO and Founder of 7thonline, shares insights into his journey from a retail software engineer to leading a successful retail SaaS company. Max founded 7thonline in 1999 with the vision of improving retail inventory management and demand planning, leveraging advanced analytics and data-driven solutions. The company has grown to serve major fashion, footwear and accessories brands like PVH, Patagonia and Canada Goose, offering multi-channel solutions that enhance inventory productivity and profitability.

Ma discusses the technological innovations behind 7thonline’s platform, including machine learning and AI, which help retailers make smarter inventory decisions by providing granular demand insights. He also highlights how 7thonline’s specialized focus on the apparel and footwear industry gives it a competitive edge, addressing challenges like seasonal demand forecasting, supply chain disruptions and shifting consumer behavior.

Looking ahead, Ma emphasizes the importance of data analytics, automation and AI in shaping the future of retail, and advises aspiring entrepreneurs to build with passion and a long-term vision. With a proven track record of innovation, 7thonline continues to evolve, preparing to lead the next phase of technological transformation in the retail industry.

cross street signs for 7th avenue, known as fashion avenue, and 7thonline

Please tell us more about yourself. 

I’m Max Ma, Founder and CEO of 7thonline, a retail technology platform that provides advanced demand planning and inventory management solutions for retail businesses.  I founded 7thonline in 1999 to help streamline retail and wholesale planning to be more efficient.  For over 25 years, we’ve been empowering retail businesses with unmatched demand visibility, advanced analytics and actionable insights. As both a data scientist and an experienced retail tech industry executive, I am passionate about merging cutting-edge technology with proven business practices. 

Before founding 7thonline, I served as the lead developer for Pantone’s Electronic Color Systems. In addition, I was a member of the Board of Trustees and Treasurer for the Yale-China Association. I hold an M.S. in Electrical Engineering from Polytechnic University, where I also served on the board of the Center for Technology in Supply Chain and Merchandising. My experience extends into media as well, having worked at HBO.

7thonline has made a significant mark in the retail SaaS space over the years. Can you take us back to the beginning; what inspired the founding of 7thonline, and how did the company evolve into what it is today?  

When I started working in retail as a software engineer for a CAD software company, I quickly realized that the industry needed more effective ways to boost inventory productivity. Early on at 7thonline, we introduced tools for wholesale buying and planning, partnering with major wholesalers like Liz Claiborne, Jones Apparel Group and Kellwood. Over time, we evolved our solutions to focus on cross-channel inventory planning and execution, enabling both wholesalers and retailers to align supply with consumer demand, ultimately improving margins.

Today, 7thonline is committed to helping the retail industry, which still relies heavily on manual processes, by offering technology solutions that enhance profitability. We believe that this ultimately will improve quality of life as there is a more efficient use of time, better results and cost efficiencies. We constantly ask ourselves: Are we on the right track? Are we approaching this the best way? Our passion for supporting the industry drives us forward. Though we’re still at the beginning of this journey, there’s a great deal of excitement about the future and the possibilities ahead.

Your platform is praised for its data-driven approach. Could you explain the core technology behind 7thonline’s platform and how it empowers retailers to make smarter, faster inventory decisions?  

7thonline specializes in multi-channel demand planning for leading apparel, footwear and accessories brands like PVH, Patagonia, Michael Kors, Tommy John, Birkenstock, Alexander Wang and Canada Goose.

We stand out by offering a data-driven platform that specifically caters to the fashion and footwear industry, supporting both retail and wholesale models. We’re revolutionizing merchandise planning and allocation to drive profitability, enabling planners and allocators in the industry to access deep demand insights and leverage robust optimization tools for achieving critical margin breakthroughs and maximizing inventory productivity.

What sets us apart is our ability to provide granular consumer demand insights—right down to an SKU at a specific store for a given week. This level of detail allows retailers to make smarter, faster inventory decisions based on real-time, localized demand.

Our platform offers several key modules:

  • Merchandise Planning with Integrated OTB: Flexible planning levels for analyzing business from multiple angles.
  • Pre-Season Assortment Planning and Order Entry: Maximize selling potential by reverse-engineering clusters down to the style/color level by door and by week.
  • Easy Reporting with Built-in Analytics and BI: Comprehensive reporting tools that provide actionable insights.
  • Production Demand Planning: Streamline production processes with accurate demand forecasts.
  • Allocation and Replenishment: Ensure products reach stores and online channels where they have the highest selling potential.
  • Factory to DC Replenishment and Order Aggregation: Optimize supply chain efficiency from factory to distribution centers.

Our modular, integrated solutions allow retailers to improve speed, accuracy and profitability while driving higher customer satisfaction and operational efficiency.

The retail SaaS solutions market has grown rapidly in recent years. What do you believe sets 7thonline apart from other competitors in this space, and how do you maintain your competitive edge?  

What sets 7thonline apart is our ability to provide a holistic platform managing the total demand across stores, ecommerce and wholesale distribution. While many companies offer solutions that address parts of what we do, none integrate these elements as comprehensively as we do, especially with the inclusion of a wholesale component. Our platform is specifically tailored to the apparel, footwear and accessories (AFA) market, which is notoriously challenging for technology solutions. By focusing exclusively on this sector, we’ve honed our expertise and developed solutions that meet the unique needs of retailers in this space, maintaining a competitive edge through specialization and deep industry knowledge.

How are your teams translating strategic goals and objectives into actionable initiatives that can be measured and reported? 

Our solution enables clients to take a more proactive approach, effectively shaping their merchandising strategies and driving financial performance. By aligning strategic goals with actionable and measurable initiatives, we help clients translate high-level objectives into tangible outcomes. This approach delivers key benefits, such as lowering markdowns, increasing full-price sell-through, reducing lost sales, improving inventory turns and minimizing administrative tasks. With this results-driven model, clients can track progress and continuously optimize their merchandising strategies for maximum impact.

You serve a diverse range of clients in fashion, sports, and other retail sectors. What types of challenges do these industries typically face, and how does 7thonline tailor its solutions to meet their unique needs?  

There are many reports about challenges at retail. Recently, Bain & Co. published their 2024 Consumer Products Report. It highlights that the industry is facing slower growth and rising challenges from both the global market and shifting consumer expectations. To stay competitive, companies are being encouraged to revamp their growth strategies, with a strong focus on sustainable innovation, digital transformation and operational agility. Businesses must adapt to supply chain disruptions and evolving consumer behavior, positioning themselves to capture new opportunities while keeping long-term goals in sight.

We understand that the retail industry is primarily focused on short lifecycle and seasonal products.  This makes demand forecasting extremely difficult because historical data is limited and consumer demand is constantly shifting.  7thonline leverages a wide range of data sources such as POS data, shipment data, logistic and warehouse data and marketing data to analyze the demand signal from every single channel of distribution.

In the past decade, 7thonline has experienced impressive growth. Could you share a few key success stories that highlight your company’s innovation, problem-solving capabilities, and customer impact? 

We have clients with firsthand experience of how they benefit from using our solutions.  One large conglomerate told us that by using our account planning system, they were able to place their production buy one week earlier.  This resulted in the supplier offering the client a $1 lower cost per garment. This is a huge number that is truly exceptional in the retail industry.  

Another example our clients have seen is the ability to have visibility across different continents to know the local demand of different countries and regions so that HQ can always stay on top of the demand signals of the entire company. We’re removing silos and helping companies use their data to make a meaningful difference in their business.

How do you see the role of data analytics evolving in retail, and what steps is 7thonline taking to stay at the forefront of technological innovation in this rapidly changing industry? 

At 7thonline, we leverage machine learning and advanced algorithms to stay at the forefront of data analytics in retail. Data analytics has always been the core of our business, providing clients with powerful insights. However, with rapidly changing consumer shopping habits, traditional statistical methods are no longer enough. That’s why we’ve adopted AI and machine learning to enhance our capabilities. 

For instance, we developed a fast fashion demand forecasting application that uses AI to predict in-season consumer preferences with minimal data. This enables our clients to quickly respond to shifting consumer demand and stay ahead in a dynamic market.

Retailers are dealing with significant changes in consumer behavior and supply chain disruptions. What strategies or features has 7thonline introduced to help your clients navigate these new realities? 

Over a decade ago, 7thonline partnered with a major retailer operating 8,000 stores to implement a demand-driven allocation and replenishment solution. This system allowed the retailer to make data-driven allocation decisions by indexing each product at every store location, aligning product assortment with local consumer demand. By staying closely attuned to the unique consumer behavior at each location, the retailer ensured the right products were available at the right places, reducing stockouts and maximizing sales.

We continue to build on this approach by helping clients test consumer preferences before committing inventory to all channels and stores. For example, by indexing each product, retailers can accurately assess the propensity to sell and determine the optimal allocation and replenishment levels. This tailored, data-focused strategy ensures that retailers are responding effectively to specific consumer demand, rather than applying a one-size-fits-all approach.

As a company that has been leading in SaaS retail solutions for years, how do you balance innovation with stability, ensuring your platform is cutting-edge yet reliable for large-scale clients?  

At 7thonline, we strike a balance between innovation and stability by closely collaborating with leading clients. This ensures that the features we develop are not just cutting-edge, but also practical and aligned with the real needs of the industry.

Our focus goes beyond simply implementing the latest technology. It’s about providing meaningful solutions that drive profitability and improve the quality of life for those managing large volumes of goods on tight margins. In today’s data-driven economy, technology is the key to breaking through the typical 5-10% margin barrier. By reducing turnaround time, minimizing human error and enhancing overall business operations, we help our clients achieve significant breakthroughs.

An example of how we improve internal and external collaborations through the latest technology is helping clients make better supply chain decisions. By facilitating real-time Sales & Operations Planning (S&OP), we enable better collaboration between sales planning and supply chain planning teams, breaking down silos and fostering more effective collaboration across the organization.

Looking forward, what trends or developments do you anticipate will shape the future of the retail SaaS landscape, and how is 7thonline preparing to lead the way in this evolution?  

Excel has become a major pain point for retailers, creating data silos and delaying real-time decision-making. As margins shrink, relying on Excel reaches a point where it’s no longer scalable. That’s where 7thonline steps in with end-to-end solutions that automate processes and deliver better results. Our goal is to eliminate the need for manual intervention by making everything automatic.

Often referred to as “the science guys of the retail industry,” we are continually enhancing our AI and machine learning capabilities through collaboration with leading clients. For us, AI and ML are not just marketing buzzwords—they’re essential tools that help retailers improve margins by allocating inventory based on current trends and customer preferences.

AI is reshaping the role of buyers, allowing them to stay ahead of trends and introduce product assortments that align with customer demand, particularly for seasonal items. According to a study published by Forbes, 60% of apparel products bought by buyers aren’t profitable, while only 40% are. This is because many decisions are made pre-season, long before customers interact with the products. AI enables retailers to gauge consumer behavior at the start of the selling season and make smarter, secondary product assortment allocations based on real-time data.

In the apparel and retail space, AI offers the critical advantage of predicting consumer trends early, reducing reliance on pre-season inventory bets and managing the constraints of the supply chain. Retailers using AI can enjoy higher margins, which in turn allows them to invest further in technology and stay ahead in an increasingly competitive landscape. 

Lastly, what advice would you give to aspiring entrepreneurs looking to build a successful business in the technology and SaaS industries, based on your journey with 7thonline? 

You have to have the passion for what you do and “build to last” instead of “build to cash out.”  With 25 years and still going, I still have the passion and excitement to continue to partner with our legacy clients and obtain new partners in the fashion, footwear and accessories industry. I feel that the best is yet to come and I hope that entrepreneurs looking to build a successful business find that same excitement and feel that what they are doing will ultimately help people have a better quality of life. 

Read the whole interview on TechBullion here: https://techbullion.com/from-vision-to-leadership-the-journey-technology-and-future-of-7thonline-in-retail-saas-interview-with-ceo-max-ma/

To discover the latest in retail SaaS innovation, email us at info@7thonline.com or book a demo for a sneak peek at our cutting-edge inventory management and demand planning solution.

Optimizing Product Distribution with New DTC Forecasting and Planning Solution

The latest in retail innovation: 7thonline introduces Test Buy, a game-changing direct-to-consumer (DTC) forecasting and planning solution—powered by 7thonline Lab’s machine learning (ML) and artificial intelligence (AI). The Test Buy module empowers retail professionals to make smart merchandising decisions by capturing the latest consumer trends and recommending inventory to specific retail locations. Analyze inventory demand to eliminate the need to commit to large initial buys, drive margins and optimize product distribution by strategically allocating inventory. 

business meeting analyzing forecasts

Developed in collaboration with a long-term client, Test Buy’s cutting-edge features effectively address inventory risk and enhance retail processes to advance inventory management at the style, color, size and door level. The module’s ability to forecast and recommend based on two data points (days/weeks) empowers retail decision-making teams to allocate inventory to brick-and-mortar locations with the highest propensity to sell at full price. Utilizing ML & AI, Test Buy extracts meaningful information and predicts consumer behaviors to improve the retail forecasting, planning and management process.

Industry analysts estimate that, on average, 60% of traditional initial buys are unproductive— resulting in missed sales targets, shrinking margins and forced markdowns. Test Buy mitigates risk by delivering visibility to productive and unproductive inventory situations, prompting smart decision making regarding overstock, stock outs, omnichannel allocation mismanagement and beyond. Retail and supply chain industries are undergoing a dramatic shift where industry leaders are placing more importance on data, data science and software to gain a competitive edge. One of 7thonline’s client partners has already seen a 35% increase in gross margins after implementing Test Buy recommendations.  

Fully integrated within our Open-to-Buy (OTB) module, the Test Buy dashboard provides necessary data that allows retailers to:

  • Evaluate initial test store effectiveness
  • Expand store count based on a sophisticated clustering algorithm 
  • Determine optimal quantity for the initial and expansion store locations
  • Calculate each location’s size profiles based on current trend 

7thonline’s continuous dedication to innovation and R&D brings the most cutting-edge, cloud-native solutions to life. The introduction of Test Buy continues to transform the way retailers and wholesalers are making merchandising decisions. The Test Buy module further enhances those processes to optimize inventory management at the style, color, size and door level; using AI and ML to forecast and recommend based on two data points (days / weeks) allows the retail decision making teams to allocate inventory to the locations with the highest probability to sell the product at full price. Spanning across all key channels—retail, wholesale and ecommerce—7thonline utilizes the power of integration to understand consumer demand, react to emerging trends and drive revenue and margin growth.

To learn more about our suite of cloud-native solutions, email us at info@7thonline.com or request a demo.

Demand Prediction Models & The Path to Retail Recovery After COVID-19

Just do it. Getting out of the gate quick and fast will give retailers an immediate advantage in their pandemic recovery—especially when reopening brick-and-mortar stores. Making smart decisions on inventory levels, promotions, purchases and future forecasts will be critical from the start. Having a tried-and-true way to determine and guide retailers will be paramount in determining whether the brand will prosper or fail to recover. Here’s the dilemma retailers are facing in the wake of COVID-19 and the steps retailers need to take to weather this unique situation.

          data and demand prediction models on a laptop

The Retailer Recovery Dilemma

Locking down during the COVID-19 pandemic forced retail stores to close en masse, accelerating the digital disruption of ecommerce. In order to survive and thrive, it was, and still is, critical to adapt. 

The post-pandemic commerce world is shaped by three forces:

  1. Short-term consumer behavior shifts
  2. New economic realities for shoppers
  3. A different competitive and partner landscape

For retailers to regain business activity, they have to understand how they fit into the “new normal”, addressing slow momentum, aging inventory and shaky forecasting for the future. Consumers are still spending, but it’s important to note where and how their preferences have changed.

Aligning with New Consumer Preferences

According to Thomai Serdari, a professor of luxury marketing and branding at New York University’s Stern School of Business, “there’s likely to be pent-up demand, but possibly tempered by a new appreciation for consuming less, especially as a recession bears down”.

This pent-up demand is already being seen in China where retail stores have begun to open and consumers are reacting positively. Some fashion retail companies have achieved 80% of their 2019 revenue within the first four weeks of reopening and 95% of their 2019 revenue within six weeks. While encouraging, breaking this down by category revealed shifts in consumer preferences. Basics, such as denim and outerwear, rebounded quicker while others like accessories and dresses lagged behind.  

To align with new consumer preferences, retailers should look to rebalance their supply chain and manage assortments accordingly and boost their digital presence. Companies that have embraced and invested in advanced data analytics, machine learning and automation are better prepared to react dynamically. 

Leveraging Demand Prediction Models to Regain Profitability and Market Share

Advanced analytical forecasts will provide a significant advantage for retailers looking to reopen retail locations, online and offline. 7thonline has taken a scientific approach to data analysis, creating numerous velocity trend conditions to reconstruct historical data and apply forecasting algorithms down to the style/color level.

7thonline can take the zero sales data points by style/color/location and apply different velocity trends to predict the location’s sales recovery. These velocity trends—slow rebound, medium rebound and fast rebound—can be applied to predict future sales performance. The demand prediction models are based on the expected sales rebound and consumer sentiment in the US, derived from the trends, sentiments, promotions and processes in other countries.

The module is very powerful in adjusting the stores closure data and future weeks forecast after reopening, providing default adjustment values after reopening and monitors the actual performance every week, automatically re-adjusts as needed. It also provides insights on the level of promotion required to rebound sales by category and position within the lifecycle. After the sales rebound to normal levels or when the brand sales achieve a steady state, the module permanently adjusts the sales data during closure to set the stage for accurate long-term forecasting and processes. When dealing with millions, if not billions of dollars’ worth of inventory coupled with the changing consumer lifestyle evolution emerging out of this historic singular event, retailers today need sound and quick scientific advice to get them out of the gate faster than their competitors.

7thonline is a leading provider of cross-channel merchandise planning and assortment management solutions, enabling more effective planning, demand forecasting and inventory optimization for leading retailers and wholesalers. With embedded business intelligence and rich analytics, the company’s solutions offer complete demand visibility and planning capabilities for wholesale, retail and ecommerce. To learn more, email us at info@7thonline.com or book a demo with our team.