Open-to-Buy (OTB)

Open-to-Buy (OTB) Planning –
Smarter Buying Decisions Powered by AI

Inventory planning is one of the biggest challenges for retailers. Buying too much ties up cash in excess stock, while buying too little leads to missed sales opportunities.

AI-powered Open-to-Buy (OTB) Planning helps retailers make smarter purchasing decisions using real-time inventory and sales data.

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Why Inventory Buying Decisions Are So Complex

Retailers need to balance inventory carefully to avoid overstocking or running out of products.

Traditional planning often involves manual calculations across multiple factors, making the process time-consuming and error-prone.

Common challenges include

  • Predicting future demand accurately
  • Managing forward cover requirements
  • Tracking current stock and pending purchase orders
  • Balancing desired closing stock levels
  • Reacting to seasonal trends and sales fluctuations

When planning isn’t accurate, retailers risk excess inventory, stock shortages, and reduced profitability.

A Smarter Way to Plan Inventory with AI

AI-powered Open-to-Buy inventory planning illustration
AI-powered Open-to-Buy Planning helps retailers calculate how much inventory to purchase using key business inputs and historical insights.

With intelligent OTB planning, you can

Calculate OTB using Planned Sales, Forward Cover, Opening Stock, Purchase Orders, and Closing Stock

Automatically adjust buying plans based on demand trends

Improve inventory allocation across categories

Reduce manual spreadsheet calculations

Account for seasonal sales patterns

Identify potential stock shortages early

Optimize purchasing decisions with real-time insights

In short AI helps retailers buy the right products, in the right quantity, at the right time.

Benefits for Retailers

Accurate buying decisions icon
Accurate buying decisions
Prevents overstock and stockouts icon
Prevents overstock and stockouts
Improves cash flow and margins icon
Improves cash flow and margins
Reduces manual work for planners icon
Reduces manual work for planners
Better inventory utilization icon
Better inventory utilization
Smarter seasonal and trend-based planning icon
Smarter seasonal and trend-based planning

Open-to-Buy Planning in Action

Forward Cover Planning icon
Forward Cover Planning

A retailer sets a target for 3 months’ forward coverPrettier and enters planned sales for the upcoming quarter. AI considers opening stock, pending purchase orders, and desired closing stock to recommend how much inventory should be purchased.

Seasonal Demand Adjustment icon
Seasonal Demand Adjustment

Sales for winter jackets increase earlier than expected. AI detects the trend and recommends increasing future purchases before stock runs low.

Preventing Overstock icon
Preventing Overstock

A slow-moving category already has high stock levels and pending purchase orders. AI reduces future buying recommendations to avoid excess inventory.

Multi-Category Buying Optimization icon
Multi-Category Buying Optimization

AI analyzes sales trends across categories and helps buyers prioritize high-performing products while reducing investment in weaker categories.

How AI Makes OTB Planning Smarter

AI-powered OTB planning combines multiple data points to create more accurate inventory buying recommendations.

The system considers

Planned sales forecasts

Current opening stock levels

Pending purchase orders

Desired closing stock targets

Forward cover requirements

Historical sales trends

Seasonal demand patterns

The result: Retailers make data-driven buying decisions with greater confidence.

Where Open-to-Buy Planning Helps Most

Fashion and apparel retailers icon

Fashion and apparel retailers

Department stores icon

Department stores

Grocery and supermarket chains icon

Grocery and supermarket chains

Retailers with seasonal inventory icon

Retailers with seasonal inventory

Merchandising and buying teams icon

Merchandising and buying teams

Ready to Plan Inventory More Accurately?

AI-powered Open-to-Buy Planning helps retailers reduce planning errors, optimize inventory investment, and improve profitability through smarter purchasing decisions.

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AI-powered Open-to-Buy inventory planning

The right Open-to-Buy Planning solution

combines sales forecasts, stock levels, purchase orders, and forward cover planning to help retailers make smarter inventory decisions, reducing waste while ensuring product availability.

Ready to modernize your inventory planning with AI?

Talk to our Team