Page 29 - GS250802

Insights and Expertise

human insight creates the optimal inventory strategy. Re-
tailers maintain their entrepreneurial instincts while ben-
Dead inventory represents more efiting from data-driven validation.
than lost shelf space; Looking forward
it's capital imprisonment. As AI technology continues evolving, we'll see even more

sophisticated recommendation capabilities. Future sys-
tems will likely incorporate external factors like weather
need special training or additional screens. Recommen- patterns, local events, and economic indicators to further
dations appear within normal POS operations, making refine suggestions.
adoption natural rather than forced.
For today's independent retailers, the question isn't
This integration extends to supplier relationships. Armed whether to embrace AI-powered recommendations; it's
with data-backed insights, retailers negotiate from posi- how quickly they can integrate these capabilities. In an in-
tions of strength. They can demonstrate why certain prod- dustry where margins matter and competition intensifies
ucts deserve better pricing or prominent placement based daily, the intelligent use of AI represents a critical differ-
on proven local demand. entiator between thriving and merely surviving.

The human element remains critical The tools exist. The data flows continuously. Success now
depends on retailers' willingness to let artificial intelli-
AI recommendations excel at pattern recognition and pre- gence illuminate opportunities hiding within their trans-
diction, but they don't replace merchant judgment. Suc- action streams.
cessful retailers use AI insights as sophisticated advisers
rather than absolute authorities. The technology identifies Elie Y. Katz is founder, president and CEO at National Retail Solutions
opportunities; human expertise determines implementa- (NRS), https://nrsplus.com. Contact him by phone at 201-715-5179 or
tion. This partnership between artificial intelligence and by email at ekatz@nrsplus.com.