Latest News

 VIADA Baltija Slashes Overstock by 35% and Boosts Sales with LEAFIO AI Retail Platform

VIADA Baltija, one of the leading petrol station operators in the Baltic States, has implemented the LEAFIO AI Retail Platform to optimize inventory management and merchandising processes across its network of 93 gas stations in Latvia, handling more than 1,650 active items.

The need to centralize and optimize inventory management and merchandising processes led Viada Baltija’s management to seek a comprehensive technological solution.

The LEAFIO AI Retail Platform integrates LEAFIO Inventory Optimization and LEAFIO Shelf Efficiency into a unified ecosystem, enabling seamless data exchange and consolidated decision-making for inventory and display management.

The decision to choose the LEAFIO AI Retail Platform was influenced, among other factors, by a recommendation from another company in the region that has already successfully collaborated with LEAFIO AI.

Operational challenges before implementation

VIADA Baltija faced some inefficiencies due to decentralized order management, where individual station managers handled replenishment. This led to errors, overstocking, write-offs, and lost sales. The absence of standardized planograms resulted in inconsistent product placement and suboptimal use of retail space.

Additionally, having no dedicated roles or tools for managing inventory and planograms hindered the company’s ability to monitor KPIs, analyze inventory performance, or ensure compliance with planograms. The non-digitized merchandising processes further slowed operations, introduced errors, and limited development.

The project objectives

Considering the challenges faced by the company, the implementation team immediately focused on several key tasks: 

  • Establish an automated ordering system across the chain.
  • Improve inventory management efficiency and KPIs.
  • Ensure transparency and standardization in ordering methodologies.
  • Enhance the visual merchandising process.
  • Streamline planogram creation, execution, and compliance control.
  • Reduce the time required for planogram creation and execution.
  • Enable data-driven decision-making for both merchandising and inventory management.

The platform implementation stages

Stage #1 Preparation and setup

The project commenced with the agreement on the project charter, followed by installing the LEAFIO system using cloud-based deployment. Automatic data exchange was established to enable seamless integration, and historical data was transferred to create a solid foundation for the platform’s functionality.

Stage #2 Training and pilots

Training sessions were conducted for the Shelf Efficiency and Inventory Optimization tools, equipping the team with the necessary skills. Pilot orders were tested to evaluate the system’s effectiveness, and a detailed floor plan with equipment and planograms was created to standardize operations.

Stage #3 Scaling

In the final phase, advanced training was provided on FRESH algorithms and reporting functionalities. The solutions were then fully implemented across VIADA’s network according to the predefined rollout schedule, ensuring consistency and alignment with operational goals.

Overall project results

All solutions within the LEAFIO platform interact seamlessly in the Viada system, and the safety buffer for the Inventory Optimization software—a critical parameter—has been transferred directly from Shelf Efficiency. This means the information is automatically applied to inventory management once configured at the shelf level.

  • Stations using auto-order: 93 (100%).
  • Automatic order dispatch schedules implemented across all stations.
  • Analytical reporting integrated.
  • Planograms were created for 93 stations.
  • 3,673 active planograms digitized (grouped into 183 format templates).
  • 95,886 SKUs placed across planograms.
  • 79% of active SKUs are integrated into planograms.
  • Planograms now guide assortment management and safety buffer definitions.

During the solution’s adaptation, analytics played a key role in optimizing processes by adjusting facings based on sales performance, replacing low-turnover items with high-demand products, and prioritizing prime-shelf locations for top-performing SKUs to maximize efficiency and sales potential.

Project outcomes:

Inventories decreased by 4%

Sales increased by 4%

Turnover improved by 8%

Availability increased by 17%

Additional metrics became trackable after the implementation of the system (6-month result):

Overstock decreased by 35%

Missed sales decreased by 29%

This comprehensive implementation of the LEAFIO AI Retail Platform has transformed inventory and merchandising processes, driving significant operational and financial improvements for VIADA Baltija.

Ongoing collaboration and improvement plans

To further optimize business processes and enhance efficiency, the following steps have been outlined:

  • Centralized order supervision: Orders will be fully managed from the central office, eliminating the need for station-level intervention. A gradual transition plan has been developed to ensure a smooth shift.
  • Mini-bar integration: Once accurate balances and write-offs are established, mini-bar inventory will be connected to the auto-order system.
  • Station responsibilities: Stations will maintain up-to-date inventory balances, implement inventory processes, and ensure timely execution of arrival documents, write-offs, and related tasks.
  • Merchandiser role: A dedicated merchandiser position will be introduced to oversee planogram processes, ensuring proper implementation and relieving sales managers to focus on improving order quality.

Upon completing the platform implementation, Viada Baltija specialists will continue collaborating with the LEAFIO Customer Success team, providing ongoing support to ensure optimal system utilization.

Stay tuned for updates, as we look forward to sharing new results from the LEAFIO platform implementation. If your network faces challenges similar to those of Viada Baltija, book a consultation today—we are here to help you achieve a new level of operational efficiency.

Comments
To Top

Pin It on Pinterest

Share This