SPSS - News Room

News Release

November 2, 2009

JD Sports Fashion sets up shop with new software to drive store sales forecasting

~ uses IBM® SPSS® predictive analytics software to size up likely success of proposed stores ~

JD Sports Fashion plc has selected software from SPSS, an IBM Company and the leading worldwide provider of predictive analytics software and solutions, to enhance store sales forecasting as it continues to grow its network of stores across the UK.

The sports fashion retailer has purchased IBM SPSS Modeler data mining workbench to provide a more in-depth understanding of the key drivers that influence store performance. This insight enables the retailer to make more informed decisions about all store investment opportunities, such as new stores, refurbishments, relocations, upsizing and downsizing.

JD Sports will use IBM SPSS Modeler to identify and analyse the relationship between key variables - such as consumer demographics, frontage, size, pitch, retailer synergy, brand and product mix - that contribute to the opening of a successful outlet.

The technology will provide insight to help the company review opportunities for new outlets across all group fascias more quickly and accurately, in order to open profitable stores of the right size in the right location.

Alastair Browne, site research and development manager at JD Sports Fashion plc, said: “As demonstrated by the group’s performance over the last 4 years, the sales forecasting techniques currently employed by the business have been very successful. However, given the national coverage of our store portfolio and the varying demands of the consumer, we now feel the requirement to segment our stores more effectively and develop a series of more detailed models using IBM SPSS Modeler to optimise sales forecasting, and understand the potential impact on our existing store network.”

He added: “IBM SPSS Modeler technology offers us a wide variety of tools that allows us to undertake a much greater level of data interrogation, providing real insight into the wide range of t variables that influence store performance and helping us make key decisions about our future store strategy.”

James Richards, commercial director, Northern Europe at SPSS, said: “In the current economic climate, it is essential for JD Sports to take any risk out of sales forecasting. Our technology will help them make more informed decisions based on solid reasoning at a time when every penny counts.”