Family Dollar to use Dunnhumby’s AI platform

Family Dollar (Dollar Tree) has selected Dunnhumby as its strategic platform for category management and merchandising collaboration for its entire network of stores. 

Dunnhumby’s technology will put the customer directly at the heart of the decision-making process and enable Family Dollar’s merchandising and data analytics teams to make faster, smarter and more customer-centric decisions, in collaboration with their CPG partners.

Dunnhumby said it will use its expertise in customer data science, along with consumer led insights and collaboration, to help Family Dollar make merchandising decisions that will enhance the shopping experience and drive engagement with the retailer’s 66 million shoppers.

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“Understanding and listening to what our customers want is at the very core of our mission to meet and exceed the needs of our shoppers,” said Larry Gatta, chief merchandising officer for Family Dollar. “With our new category and merchandising platform powered by Dunnhumby, we can tailor and fine tune our assortments to local purchasing preferences, to ensure we provide our customers with the products they need at each of our stores.”

The Family Dollar category management and merchandising platform will be built on two key platforms. First, Dunnhumby Assortment, a next-generation assortment solution that harnesses cutting-edge AI, and employs predictive analytics to quantify which products should be selected for each store, before forecasting the impact of assortment changes across every location, the retailer said. The other platform, Dunnhumby Shop, is a web-based AI-powered data tool designed to deliver insights about shopper behavior and deliver category trends. 

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“The entire Dunnhumby team is honored to be selected by Family Dollar, after a competitive review, as their strategic partner for category management and merchandising,” said Matt O’Grady, president of the Americas for Dunnhumby. “In today’s hyper competitive retail environment, Family Dollar recognizes that putting their customers first is crucial for growth and customer retention.”

Dollar Tree operated more than 16,300 stores across 48 states and five Canadian provinces as of Aug. 3. Stores operate under the brands of Dollar Tree, Family Dollar and Dollar Tree Canada.