goods4cast - inventory optimization solution
DESCRIPTION
Cloud service for maintaining optimal inventory level, based on demand forecastingTRANSCRIPT
Inventory Optimization Solution Smart math that works for your business!
2000 – Forecsys company (the holding company of Goods4Cast) was founded, basing its work on the scientific school of RAS academic Yury Zhuravlev. The company's founders are graduates of and professors at MSU and MIPT.
2005 – The first version of Goods4Cast solution was released. It was implemented in TD Perekrestok retail chain.
2008 – Goods4Cast won the Cnews Awards contest as the best IT solution for retail modernization of 2007
2012 – Goods4Cast won the open contest of FASIE (Bortnik`s fund).
2013 – Goods4Cast became a Skolkovo resident with the project of cloud-based inventory optimization service.
Milestones
Для кого Target Audience
Annual revenue > $1 000 000 Offline retail, e-commerce, multichannel commerce Any business field (FMCG, CE, pharmaceutical, apparel, DIY, sports…)
& Wholesalers Retailers
Для кого Problems G4C solves
Overstock
Out-of-stock
Goods4Cast answers the questions:
What? When? How much? Where? Whenever a company has to order from the suppliers.
Excessive man-hours
Uncontrolled process
Для кого Solution
Cloud service for maintaining optimal inventory level, based on demand forecasting
1. Forecasts
2. Recommendations
3. Orders
ERP, e-commerce
Orders
Data
Notifications
Analytics
Russia and CIS TAM: $2 200 000 000 SAM: $200 000 000
SOM: $50 000 000 (25% от SAM)
USA TAM: $15 000 000 000 SAM: $6 000 000 000
SOM: $60 000 000 (1% от SAM)
Other countries (EU, South Eastern Asia, BRICS)
TAM: $54 000 000 000 SAM: $24 000 000 000
SOM: $360 000 000
Market volume is calculated as: Number of customers * Goods4Cast average annual fee ($6000). US Census Bureau and Federal Service of State Statistics of Russian Federation data was used.
Market
Competitors
SMB Large Enterprise Russia
Lokad JDA Inventor
Valogix Logility Deductor
Blue Ridge IBM Inventory Optimization
Synchron EazyStock Oracle Inventory Optimization
SAS Inventory Optimization
Just Enough
Detailed competitive landscape information can be found in appendix A
There is no available solution for SMB companies that has large enterprise functionality and is affordable and easy-to-use
Product
Library of “TSA” (Time Series Analysis) algorithms, including models for different business fields (FMCG, pharmaceutical, consumer electronics, fashion and others) Customizable Goods4Cast platform – supply chain management solution On-premises product line based on Goods4Cast platform: Goods4Cast.Planning, Goods4Cast.Supplies, Goods4Cast.Replenishment Web-version of Goods4Cast.Replenishment (core functionality) – the base for Goods4Cast SaaS model.
Already Done
Product
Goods4Cast web-version enhancement and website development
Integration with Acumatica Cloud ERP
Integration with 1C ERP
Integration with Microsoft Dynamics ERP product line
Development of mathematical models for e-commerce
In Progress And Planned
Product
Fundamentally more powerful unique mathematical engine
Integration technologies that allow for product implementation in 1 day without any IT specialists
Fully cloud-based solution - secure, stable, and fast
Easy to operate and user-friendly solution
Real focus on SMB
Advantages
Product
Goods4Cast Interface
Для кого Value
Average monthly reduction of SKU (stock keeping unit) costs: $1
Additional value: 2-5% of revenue
$
Demand forecasting accuracy increase: 20-50%
Inventory management & man-hours reduction: 70-90%
Stock level reduction: 10-30%
Lost sales reduction: 30-50%
Business Model
$ SaaS
$ LE Implementations
$
Partners Channel
$
SMB Subscription model 5 plans – from Free to Individual Average monthly price - $500
Large Enterprise Perpetual license + Time&Material Average implementation price - $100 000 (“Big” solution cheaper than Oracle, SAS, JDA, IBM) Technical support - $10 000/year
SMB, Large Enterprise Subscription or Perpetual license Plans depend on partner sales model Partner shares revenue
Plans
Micro Business
Free!
Small Business
2999р/month
Medium Business
12999р/month
Large Enterprise
32999р/month
Individual
By request
Basic Functionality:
1. <1 000 SKUs
2. Automated demand
forecasts
3. Order dates and
quantities
recommendations
4. KPI dashboards,
reporting tools, and
alerts
5. Export to Excel
+ Inventory Management
Automation:
1. <5 000 SKUs
2. Automated
forecasting for
holiday periods
3. Safety stock
optimization to meet
service levels
4. Multi-item purchase
order
recommendations
5. Export to ERP
+ Higher Level of
Optimization:
1. <10 000 SKUs
2. Automated
analogue-based
forecast for new
items
3. Fully automated
safety stock
optimization (service
levels chosen to
maximize
profitability)
4. Automated supply
frequency
recommendation
5. Accounting for
suppliers’ terms
(order amount,
quantity, volume,
weight etc.)
+ Most Powerful Tools:
1. <50 000 SKUs
2. Promotions
forecasting and
decision support
3. Distribution center
inventory
optimization
4. Suppliers` discounts
analysis
5. Optimal supplier
selection
recommendations
+ Customized Solution:
1. Unlimited SKUs
2. Forecasting with any
additional factors
3. Seamless integration
to any existing IT
solutions
4. Tuning and analytical
support
5. Functionality
customization
Russia
Plans
90% of Distribution Management Suite price ($300 - $3500 Per Month) VAR`s margin is the same as with Acumatica sells (40%) SaaS, SOP, On-premises models
Among our customers:
Customers
Customers
Existing Customers (LE)
Prospects (LE) Prospects (SMB) Prospects (Acumatica)
Baltika (brewery manufacturer)
~70 large companies of Russia, Ukraine, Belarus
Apiko-fish (sporting goods) eRecycling
Lama (FMCG retailer) OhYeah! (fashion) Best Buy Egypt (2B systems) TehnoNikol (construction materials manufacturer)
BeautyLand (cosmetics)
Tonics (FMSG wholesaler)
Tea Journey (tea sore)
Dochki&Synochki (retailer)
Russtandart (pharmaceuticals)
Exit Strategies
Acquisition/Merger by competitors JDA, IBM, Oracle, SAS,… Acquisition/Merger by partners/potential partners (ERP developers, e-commerce platform developers, VARs) SAP, Oracle, Microsoft, NetSuite, Acumatica, 1C, Magento, ZenCart, Virtuemart, Shopify, IBS, … IPO Moscow Stock Exchange, London Stock Exchange, NASDAQ Foreign investment fund focusing on private technological companies
Finance
$800 000 for 2,5 years
For cloud service development and marketing in Russia and USA
$100 000 – SaaS 1C and Acumatica R&D (11.2013 – 06.2014)
$200 000 – Marketing Russia (07.2014 – 12.2014)
$500 000 – Marketing Russia and USA (01.2015 – 06.2016)
Legal Structure
OOO “GoodForecast” (Goods4Cast) is a subsidiary of ZAO “Forecsys” (Forecsys)
Stakeholders of Forecsys are 3 natural persons
Forecsys controls 100% of Goods4Cast shares
Goods4Cast management (CEO, CAO, CBDO) has a 3 year option
Awards & Support
2008 – Goods4Cast won the CNews Awards contest as the best IT solution for retail modernization of 2007 2012 – Goods4Cast won the open contest of FASIE (Bortnik`s fund) 2013 – Goods4Cast became a Skolkovo resident with its project of cloud-based inventory optimization service.
Team
Andrey Lisitsa, CEO 30 years old. Graduate of CMC MSU. 7-year experience of successful project implementation with leading Russian companies (Svyaznoy, Baltika, RZD, 7 Continent and others) in the field of demand forecasting and inventory management and optimization.
Sergey Kotik, CBDO 30 years old. Graduate of CMC MSU. 8-year experience of successful IT project implementation in the field of BI and e-commerce, including Ochkarius startup launch. Author of more than 10 academic articles on economics and engineering.
Team
Konstantin Vorontsov, PhD, Scientific Director 42 years old. Graduate of MIPT. PhD. Konstantin won the RAS award for young scientists. Author of more than 100 academic articles on mathematics and engineering. Author of more than 10 patented software solutions. Lecturer at MSU, MIPT, HSE, Yandex DAS.
Daniel Kanevskiy, CAO 30 years old. Graduate of CMC MSU. 7-year experience of BI solutions methodology and mathematics engine development including inventory management and optimization solutions. Key team member in more than 30 demand forecasting and inventory optimization projects. Business analyst, researcher. Lecturer at Lyceum of Information Technologies №1533.
Advisers
Yuriy Chekhovich, PhD 37 years old. Graduate of MIPT. PhD. 12-year experience of successful IT company management. CEO of Forecsys. COO of Antiplagiat. Lecturer of MSU, MIPT.
Nick Mitushin, PhD 33 years old. MIPT graduate. PhD. 12-year experience of successful IT company management. Co-founder and CEO of TFunnel (American company). Co-founder of Rise Technology Ventures.
Sergey Kotik Goods4Cast E-mail: [email protected] Mobile: +7-968-749-99-48 Skype: Kot_serg9
Contacts