AI ALLOCATION & REPLENISHMENT

AI Allocation & Replenishment Software for Retail

TrueGradient puts the right sizes in the right stores and re-orders against the forecast — not last year's reorder point — so you fight stockouts and overstocks at the same time, on one model.

Every retailer fights the same two-front war: empty shelves that cost the sale, and overstock that ends the season as a markdown. Win one the wrong way and you lose the other. TrueGradient executes both fronts from the same forecast — allocating new stock by store and size, and replenishing stable lines against forecasted demand — so inventory lands where it will actually sell, not where a spreadsheet averaged it.

Win the battle against stockouts and overstocks

Stockouts cost the sale you were owed; overstocks cost the margin you already earned. Most retailers can only fight one at a time — pad inventory to kill stockouts and drown in markdowns, or run lean and lose sales to empty shelves. The way out is precision: the right unit in the right place at the right time, so you carry less and still say yes to the customer. That is the whole job of allocation and replenishment, and it starts with a clean demand signal rather than a raw sales history distorted by past stockouts. Going beyond reorder metrics is what separates execution that works from execution that chases a broken history.

Fewer stockouts
Stock positioned where demand actually is, before it sells out.
Fewer overstocks
Less padding, because the placement is precise instead of averaged.
Clean demand signal
Past stockouts are corrected for, so you do not replenish to a distorted history.

Allocation: get Day 1 right — the right sizes in the right stores

Allocation is the highest-risk decision in retail because you make it with the least information: a new or seasonal product with no sales history, distributed across dozens or hundreds of stores that each sell differently. Get it wrong, and you spend the whole season transferring stock between stores and marking down the mismatch. TrueGradient allocates by store cluster and size profile — sending more of what each store actually sells, respecting the size curve so a store does not receive a broken run, and grounding the split in the forecast rather than a national average. It reads directly from the assortment plan, so what you allocate matches what you chose to carry in the art of assortment.

Size profiling

Allocate the size curve each store actually sells, not an even spread.

Store clustering

Group stores by real demand behaviour, not region or size band.

New & seasonal

Allocate products with no history from attributes, analogs, and the forecast.

Replenishment: re-order against the forecast, not last year's reorder point

Replenishment should be the easy, automated half — but most systems still fire re-orders off a static reorder point calculated from historical averages, which means they chase demand that has already moved. TrueGradient replenishes stable lines automatically against the forward forecast and the inventory policy set upstream, so the re-order reflects where demand is going, not where it was. Planners stop hand-tuning min/max tables and start managing the exceptions that actually need judgment. The vocabulary and mechanics behind healthy replenishment are laid out in demystifying inventory planning, and the pairing of forecast and inventory that makes it work is described in the dynamic duo of forecasting and inventory optimization.

Execute against your demand plan and inventory policy — on one model

Allocation and replenishment are only as good as the forecast and policy behind them — and in most stacks those live in different systems, so the execution layer is always working from a slightly stale copy. TrueGradient runs execution on the same model as AI demand forecasting, the committed demand plan, and the inventory optimization policy. Allocation reads the same probabilistic forecast that planning uses; replenishment respects the same safety-stock and service-level targets inventory optimization sets — with no reconciliation lag between them. The result is an execution layer that is always current, and a plan that is actually executed as designed rather than approximated downstream.

Omnichannel and ship-from-store — position stock where digital demand is

In an omnichannel network, a store is not just a shelf — it is a mini-warehouse that can fulfil online orders. Allocating only for walk-in demand strands inventory that online could have sold, and vice versa. TrueGradient allocates and replenishes across the whole network — stores, DCs, and channels — positioning stock where total demand is, so a unit can serve whichever channel needs it.

Allocate well now, mark down less later

The best markdown is the one you never have to take — and allocation is where that starts. Send the right sizes to the right stores, and far less ends the season stranded on a clearance rack in the wrong location. When stock does end up misplaced mid-season, TrueGradient recommends stock rebalancing transfers before a price cut is needed, and only what genuinely cannot be repositioned flows to markdown optimization. Precise accuracy in execution is the most economical way to safeguard margins while you reduce working capital and optimize inventory levels.

Built for the operating reality of allocation and replenishment teams

Real execution runs into pack constraints, minimum order quantities, DC capacity, lead-time variability, and a merchant who needs to hold stock back for a launch. TrueGradient is built for it — recommendations that respect pack sizes, MOQs, and capacity out of the box; explainable allocations a planner can defend; agentic monitoring that flags a store running hot or cold against its plan while there is still time to transfer or reorder; and no-code, self-serve configuration so teams set clusters, size curves, and replenishment rules without an implementation queue.

Constraint-aware

Pack sizes, MOQs, DC capacity, and lead times respected in every recommendation.

Explainable

Every allocation and re-order defensible; no black box.

Agentic monitoring

Catch a store drifting off plan while a transfer or reorder can still fix it.

The business impact of AI allocation and replenishment

Better allocation and replenishment compound through fill rate, working capital, and markdown exposure. With TrueGradient, retailers and brands consistently see:

Higher fill rate and on-shelf availability from stock positioned against real demand.

Lower inventory and working capital as precise placement removes the need to pad every location.

Fewer transfers and markdowns because Day-1 allocation lands closer to real demand.

Weeks, not quarters to a live allocation and replenishment cycle vs the $500K+, multi-quarter enterprise suites.

SOC 2 Type II certifiedBuilt for fashion, specialty, and omnichannel retail30-day proof of value

See your allocation
and replenishment plan

Send us a season of sales, store, and inventory data, and we will show you the Day-1 allocation and the replenishment schedule that would have raised fill rate while carrying less inventory — by store and by size.