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Time in each store to completely deploy new POS—and train employees.
Family Dollar Stores offer everyday consumer basics at very affordable prices. While rapid growth resulted in over 4,400 stores in the last decade, they required help to bring them up to speed with Point-of-Sale and analytics capabilities in order to keep up with the competition and prosper.
Family Dollar Stores
Family Dollar Stores, Inc.
Matthews, North Carolina, USA
SAP Business Planning and Consolidation, SAP Point-of-Sale
Helping Americans Save Dollars for Over 50 Years
Founded in Charlotte, North Carolina by Leon Lavine in 1959, the popular discount chain has kept to the principle of offering compelling value and a convenient place to shop. Growing at a rate of up to 500 stores per year in the last decade, Family Dollar now operates more than 7,400 stores in 45 states.
A few years ago, the stores started carrying a wide array of brand name food products at discount prices, which put Family Dollar into a whole new retail segment. No longer just a store to run in for pens, fertilizer, and a tape measure for a bargain – now mom can check off most of her grocery list, too.
Adapting to the Customer’s Needs
Deploying Point-of-Sale and analytics software is the foundation for boosting sales and service.
Technology and the Three-Fold Plan
Knowing they needed to be modernized with Point-of-Sale (POS) and analytics software, they created a concept that used their new strength to boost sales and service while delivering three key components:
Family Dollar wanted to broaden its merchandise assortment, increase the types of tender accepted, and integrate its point-of-sale (POS) equipment with backend software. Further, they wanted to not only complete annual budget and forecasts quickly and accurately, but also to analyze their 7,400 store portfolio and plan accordingly to meet shoppers’ current and future demands. This vision required one version of the truth, standard templates, and process flow.
Needing the Right Solutions and Support
SAP and Aster Group were able to offer Family Dollar exactly what they were envisioning:
- Josh Jewett, CIO, Family Dollar Stores, Inc.
The SAP Point-of-Sale application deployment plan was carried out with the help of a third party vendor out in the field. It became routine to roll out 400 stores per month as they worked together to bring all 7,400 Family Dollar Stores up to modern times. For the SAP Business Planning and Consolidation application, Family Dollar successfully employed a co-development model with Aster Group.
Implementing the SAP Point-of-Sale application as part of a multiyear investment to create its “Store of the Future” helped Family Dollar Stores become more competitive while establishing an infrastructure to support continuing growth and profitability. The SAP Business Planning and Consolidation application only complemented the benefits from the POS implementation. With improved financial performance management, Family Dollar can now quickly assess performance of the store portfolio, allowing them to budget strategically and to manage risks appropriately.
17% faster customer throughput comes from the ripple effect of benefits.
Sometimes it’s the unforeseen benefits that feel even better. Family Dollar consolidated 20 different data sources into one view of the truth with SAP Business Planning and Consolidation, which allows them to make better decisions. Further, 17% faster customer throughput not only meant a better customer experience—but also enabled the reduction of registers in 1,200 stores. That’s amazing, considering the greater number of complexities added to transactions to allow multiple tenders, promotions, and coupons.
– Josh Jewett, CIO, Family Dollar Stores, Inc.
With stores in almost every US state, Family Dollar was thrilled to learn that the SAP platform allows custom configuration for each state’s taxes and regulations.
From a broader array of products to more convenient payment options.
But even more important is the ability to meet their customers’ expectations. Shoppers can now choose from multiple payment options like food stamps, credit, debit, and medical benefits cards. They can also redeem coupons and receive promotions at the point of sale.