The integration of AI-driven customer voice analytics will help buyers make decisions earlier in the design process.
The Voice of the Customer has always been critical to understanding buying patterns and trends. But for many retailers, it requires analytics, good data sources, and close monitoring -- until now.
Li & Fung, through a strategic partnership with First Insight, is making it simpler. The deal will see the supply chain company adding First Insight’s Voice of the Customer analytics into its Digital Product Development solution.
The integration aims to help retailers to select, price and buy designs easily and more accurately. It also aims to increase sell-through and reduce markdowns.
“We have been investing in our Digital Product Development services for the past three years, bringing together technologies that support our goal of creating the Supply Chain of the Future. First Insight brings the leading digital consumer product testing solution and we are using it to complement our digital services and help our customers improve sales and margins,” said Spencer Fung, group chief executive officer at Li & Fung.
The initiative is part of Li & Fung’s effort to create the “Supply Chain of the Future.” It includes the creation of a fully-integrated digital supply chain platform that connects brands and retailers with suppliers and other partners “seamlessly.”
The platform features 3-D virtual design services that simplify traditional product development. First Insight’s digital consumer testing helps retailers to review consumer insights to make informed changes early in the product development phase. The testing includes the use of AI and predictive analytics to gain customer feedback within 24 to 48 hours.
“For the last 12 years, First Insight has been helping hundreds of retailers and brands use voice-of-the-customer data and predictive analytics to improve their operations – from product design to buying to pricing,” said Greg Petro, chief executive officer at First Insight.
The Li & Fung-First Insight partnership will deliver an end-to-end digital product development solution, from the initial design concept to the finished product. Benefits include:
- Higher confidence in selecting designs that consumers want, at the prices they will pay
- Higher responsiveness in their value chain – demand-driven, rather than supply-driven
- Faster speed-to-market
- Specific design feedback by region, retailer and customer demographic
- Reduced markdowns; increased sell-throughs and margins
- Reduced cost in physical samples, reduced fabric wastage, and airfreight
- Improved sustainability for the business and environmental footprint
“The combination of our solutions creates a global supply chain that is fast, accurate and efficient,” Petro added.