Are You Maximizing Your Downstream Data?
Consumer products manufacturers have had access to point-of-sale data from retailers for decades, but very few of them have figured out how to leverage it to their advantage. Defined by Supply Chain Insights LLC as "data that originates on the downstream or demand side of the supply chain," downstream data's biggest selling point is the fact that it offers immediate feedback regarding demand and buying patterns.
The problem, says Lora Cecere, Supply Chain Insights' founder and CEO and author of Integrated Demand Management: When Will We Start Using Downstream Data?, is that organizations use internal "pockets" of data to improve sales reporting, category management, or replenishment. "No consumer goods manufacturing company has designed and implemented an end-to-end value network to fully utilize the data," says Cecere, who adds that market adoption of downstream data has been slow.