Hotwind Optimizes Performance at Over 500 Stores with JDA

Hotwind, a leading fashion retailer in China, has selected JDA Allocation to improve store efficiency and overall store performance, by matching inventory levels to consumer needs from store to store. Established in 1996 in Shanghai, Hotwind is a well-known design, selection and retailing company of fashion shoes, clothing, bags, and accessories, with over 500 stores all over China.

Hotwind wanted to replace its manual spreadsheet-based allocation processes which were spread across various sales regions, with a more unified view into allocation and replenishment levels from region to region, and reduce the amount of over- or under-stock scenarios that were occurring. They chose JDA Allocation to centralize the management and control of store-level allocation and replenishment and automate previously manual processes.

“Hotwind is a leader as a specialty retailer in the apparel industry and having the right inventory to meet customer needs is one of our top priorities as we continue to grow,” said Thomas Yu, Senior Vice President, Hotwind. “JDA Allocation will help us more efficiently control our stock levels from region to region and store to store, so not only does each store have the right level of inventory, but the right product mix based on customer demand and purchasing trends. JDA Allocation will also reduce the amount of interstore product transfers occurring and improve sales revenue.”

JDA Allocation enhances and translates customer knowledge into pinpointed allocations, enabling retailers such as Hotwind to optimize store-specific product assortments across its stores. Hotwind selected JDA also in part due to its deep expertise in the apparel industry, and its integrated end-to-end retail planning solutions that could support their future growth and development.

“With 500 stores, Hotwind faces the challenge of targeting stock levels to each store and each region, using disparate processes and spreadsheets to assess their allocation and replenishment needs. This leads to inaccurate inventory levels and potentially lost revenue,” said Amit Bagga, regional vice president, Asia Pacific, JDA Software. “JDA Allocation will give Hotwind the ability to drive quicker inventory turns, and target the optimal mix of products for each store. It will also give Hotwind a more efficient way to create and execute their allocation plans, create allocations based on inventory and assortment plans for new products, as well as accurately plan and replenish existing items.”