Assortment planning

Assortment planning decides which products, variants and brands a retailer will offer. It balances customer demand, available space and purchasing budget so the range provides useful choice without tying up excessive money in slow-selling stock.

An assortment has both breadth, the number of product categories or lines, and depth, the number of choices within each. The planner considers the target customer, price points, seasonality, store or website space and supplier availability. Too much choice can fragment demand across similar items and create stock that sells unevenly.

For example, a small sports shop may carry fewer shoe brands but offer useful sizes within each selected style. Sales and sell-through rate help decide which variants deserve more space or replenishment. Category management provides a framework for balancing the assortment as a group rather than judging products in isolation.