Dave Wendland, VP, strategic relations and member of the owners group at Hamacher Resource Group (HRG), will present “Has SKU Rationalization Become Irrelevant?” at ECRM’s Cosmetics, Fragrance & Bath EPPS in Orlando, Fla., U.S. on Jan. 13.
The U.S. cosmetics industry is estimated at nearly $80 billion with prestige beauty products including high-end makeup, skin care, and fragrances among the fastest growing. Between seasonality and acquisitions, multitudes of SKUs may be linked to any given product line, presenting spatial, implementation, and inventory control challenges. Wendland will discuss how some manufacturers and retailers are finding SKU proliferation may be an answer, despite concerted efforts to optimize space with unique fixtures and reductions in assortment. Additionally, Wendland will review the evolution occurring to enhance the shopping experience with a spotlight on beauty.
Wendland states, “The coordination process between brands, fixture producers, and retailers to update the cosmetics department seasonally is intricate and complex. Identifying how to reduce time, improve productivity, and streamline inventory requires new thinking.”