ASDA's Approach to Merchandising Technology Delivers Integrated Innovation, Enhanced In-Store Execution.

GUILDFORD, United Kingdom--(BUSINESS WIRE)--Nov. 9, 1999--

Touching on some of the vital elements of computer-aided merchandising, Britain's Best Value Superstore has found a way to bring collaborative retailing together with a boost for in-store execution: the combination of an in-house training program for its manufacturers and the widespread use of software solutions from space management software leader Intactix International.

For the past three years, ASDA has been getting results using multiple Intactix software solutions, including its space management and analysis tool InterCept(TM), batch-printing solution InterPrint(TM), image management component InterShape(TM) and file translation software InterSpace(TM). The retailer also uses a customised interface from Intactix, which allows its space management team to download sales information directly from its mainframe system in an automated format.

"Before we implemented Intactix solutions," said ASDA Project Manager Paul Boldy, "we were locked into an off-the shelf package with limited functionality. We used to create a lot of plans that looked OK, but didn't have the data and the numbers behind them for in-depth analysis. Using these customised Intactix solutions, we're able to make much more educated merchandising and category decisions. And, because of the flexibility of the system, we can now do things much faster with more data linked to our actual planograms."

In addition to its data-based decisions, ASDA is now talking about enhanced overall pre-production speed thanks to the automation and flexibility of the software combined with the in-house training program it hosts for many of the manufacturers who help to build its categories. And, with that collaborative planogramming program in place, the retailer is hearing the praises of many of its manufacturing partners:

"We've trained 20 users already," said Boldy, "and many more are to follow. We've had exceptionally good feedback from them, as well. Historically, the outputs they produced for us were very rarely in the format we wanted with regards to product labelling, print labelling, product descriptions, and other specifics. It would often take us as long to check through the planograms, putting them back to the ASDA recognised format, as it would have taken to build the plans ourselves. Being able to copy our system settings across to our manufacturers has taken working with them to a whole new level. After working with us on systems settings and processes, they can now match our space management system exactly. The time saving benefits are tremendous."

According to Intactix President and CEO Kevin Stadler, the overall productivity gains are due to years of experience with the merchandising process on both ASDA's and Intactix's side of the technology tools:

"Our experience in merchandising and software has enabled us to quickly provide solutions that improve productivity," he said. "That is quite remarkable given that most enterprise-wide merchandising solutions slow organisations down rather than improve throughput and understanding."

According to Boldy, the data integration doesn't end there. InterCept allows his internal merchandising team to create groups of plans that interface with mainframe sales and product information data that is pulled into the software for further analysis. Using its scorecarding functionality, the team can compare new plans to the old ones to evaluate whether a better return will be achieved. As it continues to trade, import and export data, ASDA is also integrating planogramming output with its image management, which has brought about good results for its in-store execution:

"With this system," he said, "it's easy to add and edit actual product images to our planograms. We like the fact that it supports different live image formats and the fact that you can mix and match those formats on plans. We also like the fact that we can now attach images to gondolas and shelves, as well as exclusively to products. This makes the plans more realistic visually. And, it means that the levels of implementation at store, when we send out these plans with the live image format, is greatly improved.

"The live image format is very well received by our store managers as not only does it allow more accurate levels of implementation," he said, " but it also makes the manager's job much easier when he or she has to check how well the plan has been implemented. With the current black/white plans, it means a manager has to check every product on every shelf to ensure it is done correctly, whereas with a live plan, it can be checked in a fraction of the time." (Log on at www.intactix.com for image.)

Looking at the overall use of the system, ASDA is reaping the benefits of a flexible, customised approach to space and category planning. As it draws on the talents of its in-house space management team and the manufacturers who compete for category space, the retailer is also seeing the results of a highly flexible, visual approach to planogramming via enhanced in-store execution. According to Boldy, this is among the many features and benefits his team has enjoyed since adding Intactix to this merchandising mix.

For more information on ASDA, Britain's Best Value Superstore log on at http://www.asda.co.uk/

For more information on Intactix products, log on at www.intactix.com.

For more information on Intactix products, log on at www.intactix.com. InterCept, InterPrint, InterShape, and InterSpace are trademarks of Intactix International.

Background

Founded in 1990, Intactix is the world's leading provider of space management software and merchandising solutions with a product range that includes the new 32-bit flagship product pro/space(TM), InterCept and InterRange(TM), among others. With global headquarters just outside of Dallas in Irving, Texas, and sales and development offices in major cities around the world, Intactix provides merchandising productivity software to over 2600 retailers and manufacturers world-wide, including seven of the world's top ten retailers.

A partial list of these users includes: American Stores Company; ASDA; A&P Canada; Bristol-Myers Squibb Company; Canadian Tire; Coca-Cola Company; ConAgra, Inc.; Dayton Hudson Corporation; Eckerd Drug Company; H.E. Butt Grocery; Kellogg Company; Kmart Corporation; Kraft Canada, Inc.; Overwaitea Food Group; Metro; Procter & Gamble, Inc.; Safeway UK; Sainsbury's; Sears, Roebuck and Company; and Wal-Mart Stores, Inc.