AI and Machine Learning Help Patagonia’s Global Business Multiply

Business Challenges

On a mission to reduce waste, Patagonia set out to improve their sales demand forecasting and allocation strategy to minimize overstocking and overproduction. The brand struggled with long sales cycles for some products, making assortment planning and inventory management difficult. While the brand is known for their industry-leading level of forecasting accuracy, they sought a technological solution to help them achieve a higher degree of consistency to positively impact financial plans and sales plans.

Solution

By integrating real-time data throughout their processes and fostering collaboration amongst departments, Patagonia was able to ensure order volume and shipment quantities aligned with company plans; AI models and machine learning capabilities recommend the quantity of goods to be allocated down to style, color, size. 7thonline’s platform empowered their teams to manage product plans across quarters and fiscal years by addressing concerns derived from long product lifecycles, and helped them focus on developing sophisticated product plans and supply chain management strategies.

Company Profile

Patagonia is an environmentally-conscious company specializing in outdoor sports equipment and apparel. A designer of outdoor clothing and gear for the silent sports, the company operates globally with over 100 stores worldwide and factories in 16 countries.