Abstract: A system and method for optimizing inventory purchasing is presented. A system can include one or more processing modules and one more non-transitory storage modules. The storage modules can contain instructions that perform acts corresponding to optimizing inventory purchasing, particularly for seasonal items. The demand for related items can be rolled-up to create a more complete base from which to make calculations. Price can be used to create a more accurate measure of demand. One can also forecast the effect of a future price reduction on demand. This more accurate measure of demand can then be used to order goods. Other embodiments are also disclosed herein.

Abstract: A system and method of forecasting using low-rank matrix completion is presented. Sales data is gathered. The data is divided into four different matrices, with two matrices covering a similar time period one year apart and another matrix covering a time period of similar length to the time period to be forecast. Matrix completion methods are performed on the four matrices in various orders. Two matrices are combined to form one sub-problem, then two matrices are combined to form a second sub-problem. The two sub-problems are solved using a matrix completion method to create a forecast of the time period in question. The matrix completion method can involve solving a nuclear norm least squares problem, then using an expectation maximization algorithm to create a forecast. Other embodiments are also disclosed herein.

Abstract: A system and method for post-processing demand forecasts is presented. A forecast for a set of stock keeping units (SKUs) is received. Thereafter, a series of adjustments is are performed on the forecast. One adjustment involves determining how often orders are fulfilled by a drop ship vendor and adjusting a forecast to adjust for the fact that a portion of the forecast will never need to be ordered and stored at the retailer's warehouses. Another adjustments involves determining if there is a parent SKU the contains multiple child SKUs and adjusting accordingly. Another adjustment involves determining in there are any bundle SKUs that could be added to an individual SKU's forecast. Another adjustment involves adjusting a forecast based on a special buy. Another adjustment involves removing possibly dead items. Other embodiments are also disclosed herein.