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Min-Max vs Demand-Based Store Replenishment: What Actually Works?
Store replenishment is often viewed as a backend activity, something that sits within supply chain or warehouse operations. In reality, it is one of the most direct drivers of retail performance. The way stores are replenished determines sell-through velocity, working capital efficiency, markdown pressure, and ultimately customer experience. When replenishment works well, shelves look healthy, fast-moving SKUs stay available, and excess stock doesn’t accumulate in the wrong locations. When it fails, the impact is immediate, stockouts, emergency transfers, forced markdowns, and frustrated customers. Despite its importance, replenishment logic is frequently inherited rather than strategically chosen. Many retailers continue to rely [...]