Merchmix launches retail operating system for stock

Merchmix has launched an upgraded retail operating system for inventory-led businesses, bringing retail planning and merchandising into a single platform.

The Australian startup said the system combines retail intelligence, financial planning, stock allocation and visual merchandising in one environment for retailers, brands and wholesalers.

The update comes as retailers face growing pressure to manage stock more precisely amid volatile demand, tighter margins, supplier disruption and inconsistent store execution. Many still rely on spreadsheets and separate tools for buying, planning and store operations, slowing decisions and leaving teams working from different datasets.

According to Merchmix, its software connects internal and external data, including historical trading performance, market signals and competitor information, with operational measures such as stock on hand, stock on order, rate of sale, weeks cover and fixture-level return on investment.

That data is used across planning, replenishment, purchase order creation and store execution tracking, creating what the company describes as a live commercial system that gives senior executives and store teams access to the same information.

Industry data cited by Merchmix points to the scale of the inventory problem. IHL Group estimates the combined cost of out-of-stocks and overstocks at about USD $1.73 trillion a year, or roughly 6.5% of global retail sales.

Research from the IBM Institute for Business Value found that 84% of executives expect AI to improve their ability to respond to market disruption and changing customer demand. Yet separate data from Tata Consultancy Services suggests only 24% of retailers currently use AI for autonomous decision-making.

Decision tools

One part of the new system is a Predictive Risk and Action Engine. Merchmix said it scans demand, stock and margin risks, estimates their financial effect, and recommends actions such as stock transfers or chasing supplier orders, while assigning tasks and tracking outcomes.

Another feature, the AI Executive Daily Briefing, is aimed at senior leaders. It is designed to give executives a concise view of trading performance and highlight priority actions without requiring them to work through multiple dashboards or spreadsheets.

Nicola Bond, Co-founder of Merchmix, said the company wanted to remove the need for retailers to piece together fragmented tools to understand what was happening across their operations.

"Retail leaders are tired of stitching together spreadsheets and legacy systems just to understand what is happening in their business. With Merchmix, they can move from decision fatigue to decision intelligence, working from a single view which connects finance, planning, buying, sourcing, marketing and stores on the same live data," Bond said.

Bond said the software also reduces manual administration in areas that have traditionally consumed large amounts of team time.

"The platform dramatically automates manual, admin-heavy workflows so teams can focus on strategy, not process. Our customers are already seeing significant improvements in margin of up to 50%, faster planning cycles - from weeks to days or hours - and better stock utilisation as they bring planning, merchandising and execution into one intelligent operating system," Bond said.

Store allocation

The platform also adds an Automated Allocation and Replenishment Engine. According to Merchmix, it distributes stock using live demand signals, store grades, demand curves and climate logic, with the aim of improving product allocation and reducing manual store-by-store decisions.

A linked range planning and draft purchase order tool is intended to connect planning with buying. The software captures historical performance and combines it with factors such as competitor pricing, social trends and weather patterns before generating draft purchase orders into ERP systems, the company said.

Measuring displays

Merchmix has also introduced a Visual Merchandising and Planogram ROI Suite. The tool is designed to track the return on each stock keeping unit on every fixture in each store by linking floor plans, fixtures, product placement, stock performance and sales outcomes.

The suite includes QR identifiers for in-store execution. Head office teams can issue fixture-level planograms and visual merchandising guides with QR codes, which store staff can scan to confirm completion, upload evidence and send it back to central teams in real time.

This is intended to replace static documents, email follow-ups and manual collection of store photographs with a more direct compliance workflow.

ERP expansion

Alongside the merchandising and planning functions, Merchmix said it has expanded into what it describes as a retail-focused ERP layer. This includes a supplier collaboration portal, as well as modules covering multi-channel order management, warehouse execution, shipping and returns.

The system is available to retailers, brands, wholesalers and other inventory-led companies in the UK, Europe, the US and the Asia-Pacific region.