Achieving Excellence in Retail Operations (AERO) Study

The Achieving Excellence in Retail (AERO) Study 2010 examines what retailers are already doing well, and identifies considerable opportunities for sharpening their tools to achieve peak performance and lasting results. For example:

• Retailers that consistently pilot the majority of new store initiatives and then selectively roll out just one or two initiatives per quarter enjoy the highest compliance across their store networks
• Loyalty programs are common (63 percent of participants have them), but far fewer retailers analyze the data enough to understand true customer behavior
• A holistic approach to establishing in-stock goals can reduce out-of-stock rates by more than 25 percent
• A rigorous strategic planning process that involves management at the senior and middle levels can lead to higher margins
• When field leaders and regional managers spend the majority of their time in stores, it leads to better compliance with store initiatives and less employee turnover
• A strategic store planning process can reduce construction cost overruns by more than 25 percent and improve store development
• Geography does not play a role in store operations performance; there was no significant difference in store operations practices among retailers in the Americas, Europe or Asia

Figure: Leading retailers capture and use both transactional and behavioral customer information

As the economy emerges from the downturn, retailers are looking for every opportunity to improve their positions. A.T. Kearney’s 2010 AERO study provides a blueprint for achieving an operational competitive advantage.

2010 Full report
Measure Twice, Cut Once – Planning, attention to detail, and tested programs build excellence in retail operations

News release
New A.T. Kearney Global Retail Study Finds Increased Management Presence in Stores Increases Performance
14 June 2010
A new study by management consulting firm A.T. Kearney, the Achieving Excellence in Retail Operations (AERO) Study, shows that when field and regional managers spend more than 75 percent of their time in the stores employee turnover falls by 10 percent and stores are more likely to conform to initiatives.

Learn more

Preview of AERO study results by Joel Alden and Dean Hillier for the National Retail Federation’s annual meeting, 10 January 2010, Demanding Times and Demanding Shoppers: Why Store Operations Excellence is the Cornerstone to Exceeding Expectations

NRF Stores Magazine feature article on the AERO presentation – AERO Study Shows Room for Improvement

A.T. Kearney’s capabilities in Store Operations Excellence

Media Highlights

Study on Achieving Excellence in Retail Operations
20 October 1020 — Chain Store Age
A.T. Kearney recently executed the Achieving Excellence in Retail Operations (AERO) study, with 53 leading retailers, to provide insight into how retailers can improve their retail operations.
By Dean Hillier
[more]

Contact

Dean Hillier, Partner in the Toronto Office
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Joel Alden, Principal in the Toronto Office
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Melanie Mityas, Principal in the Chicago Office
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Participate in the ongoing study

A.T. Kearney invites your company to participate, along with other top retailers from around the world, in an assessment of best practices in retail operations. The A. T. Kearney Achieving Excellence in Retail Operations (AERO) study will provide your company with insights into how your organization compares with leading companies, and will detail emerging best practices.

Customized feedback
As a participating company, you will receive a customized benchmark report that shows how your company compares to leading companies in your sector and region, as well as a summary of the study’s findings.  There is no charge to participate in the survey or for the customized analysis.

Confidentiality
All company-specific information from the study will be kept strictly confidential. Study findings and reports will only include aggregate information as part of the overall data analysis.

Registration page
To participate in the study, please click the button below to go to the registration page. We will then email you a link, user ID, and password to access the study. The AERO survey is comprehensive, so you may need to coordinate your response with several members of your store operations, merchandising and marketing teams. The survey structure allows for multiple individuals to complete different sections of the survey at different times. All responses are automatically saved. A.T. Kearney consultants are available to assist you and your team with the completion of your survey response.