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E-commerce Channel Optimization - ECO

E-commerce Channel Optimization (ECO) is the practice of using machine learning, analytics and automation to optimize the e-commerce channel to win at the moment of purchase and drive profitable market share growth.

Why are consumer brands embracing ECO?

In the brick-and-mortar world of retail, winning at the moment of purchase is controlled by relationships between consumer brands and retailers. These relationships were carefully managed as they allowed brands to control the limited amount of physical shelf space available, making it difficult for upstart competitors to enter a category.

In the world of e-commerce led by Amazon, winning at the moment of purchase is determined not by people and relationships, but by algorithms. Physical constraints on shelf space are gone and consumer behavior controls the shelf, with constantly changing algorithms now managing what products are available to buy. Winning in e-commerce means beating competitors for digital shelf space and exposure, and that can only happen when consumer brands make these algorithms work to their advantage.

The new requirements of ECO

The ECO journey consists of three iterative phases: insight, action, and collaboration.

Insight delivers visibility into performance and identifies issues and opportunities. Winning brands understand that speed matters and anticipate and remediate potential issues.
Action is where brands prioritize recommendations and automate manual tasks to move at the speed of e-commerce.
Collaboration is where sales, marketing and operations teams unite around a single source of truth to focus on shared goals around growth and profitability.

The ECO Lifecycle


Understand Performance

  • Near real-time collection of brand and competitor data
  • Visibility into data with automated mapping of dependencies
  • Tracking of key performance indicators (KPIs)
  • Competitive benchmarking

Identify Issues & Opportunities

  • Automated anomaly detection across brand and competitive data
  • Trending & variance analysis
  • Drill down analysis from brand, category, to ASIN level
  • Data driven demand planning


Prioritize & Decide

  • AI and machine learning provides recommendations
  • Recommendations prioritize and provide best practice actions


  • Strategies using automated actions replace repetitive manual tasks
  • Closed-loop automation strategies optimize advertising
  • Make data driven decisions to improve assortment and innovate


Power Growth

  • Focus teams on channel optimization, moving at the speed of e-commerce
  • Teams unite around a single shared instance of the truth
  • Teams organize around a common set of leading and lagging KPIs
  • Manage e-commerce channels with data, using data to discuss issues as well as opportunities to buy
  • Continuous improvement for growth, efficiency & innovation
  • Success drives expansion

See the power of growth with E-commerce Channel Optimization for yourself