A Manchester-based startup using AI and data to help retail merchandising teams make better stock buying and pricing decisions has raised £1.5 million.
Sparkbox’s solution, which is trusted by River Island and Matchesfashion.com, enables retailers to forecast demand, optimise their pricing and promotions and plan inventory to reduce waste and the need for big discounts.
Launched in 2019, Sparkbox says a recent trial with a £500m+ fashion retailer saw it improve cash margin on markdowns by 34%, paying back its client’s investment in just 34 days.
In addition to protecting retailers from profit losses, Sparkbox’s approach to data also has the potential to aid brand sustainability goals by preventing retailers from over ordering stock, with wide reports that fashion alone is responsible for up to 10% of global carbon emissions.
Sparkbox will use Praetura Ventures’ investment to double its team and onboard further fashion, home and seasonal retailers, where deadstock is a constant challenge across the board.
The company was co-founded by Forbes 30…
