Store-Wide Shelf Space Allocation with Ripple Effects Driving Traffic

Store-Wide Shelf Space Allocation with Ripple Effects Driving Traffic

Explore a 55-minute seminar from GERAD Research Center on store-wide shelf space allocation and its impact on customer traffic. Delve into a comprehensive analysis of customer receipt data from a Beirut grocery store, examining the concept of "ripple effects" in product allocation. Learn about the development of a regression model and mixed-integer nonlinear program for optimizing shelf allocations across the store. Discover specialized linear approximations that yield high-quality solutions and valuable insights. Gain understanding of how these techniques can potentially lead to significant improvements in impulse profit, with the case study demonstrating a projected 65% increase for the Beirut store.