Navigating Covid 19 Challenges For A Consumer Product Company Using AI Driven Strategies
About the Client
Our customer is a leader in design driven, innovative furnishings.
Business Requirement
- The customer wanted to determine the extent to which the changes in consumer behavior due to COVID 19 will affect their categories, channels, and brands during and beyond the crisis and what actions they need to take.
- These shifts in consumer behavior, combined with forecasts for virus containment and economic recovery, are critical for commercial strategies.
Our Solution
- Ellicium developed an AI driven demand forecasting system.
- Various macroeconomic parameters such as GDP, Home price index, unemployment rates, political inclinations etc. were used in addition to internal sales data.
- COVID related statistics such as cases, deaths and hospitalization was used to augment the traditional forecasting methods.
Solution Architechture
Business Outcomes
- For 90% of the cities in which the customer operates, sales forecasts were derived with 95%+ accuracy.
- The algorithm predicted forecasts for month to month changes to demand with 95%+ accuracy.
- Accurate and timely demand forecasts helped the customer to devise strategies for production, procurement and manpower planning.