
LEWES, Del - LEAFIO AI, a leader in AI-powered retail automation, has introduced a revolutionary new feature within its LEAFIO Shelf Efficiency module: planogram generation based on AI Demand Forecasting. This major innovation enables retailers to shift from reactive shelf management to proactive, demand-driven merchandising—bringing new levels of precision, flexibility, and profitability to shelf space planning.
The headline feature of the June Shelf Efficiency release allows retailers to generate planograms based not only on historical sales data but on AI-powered sales forecasts. As a result, merchandising teams can dynamically adjust product facings and category positioning according to predicted consumer demand—maximizing sales opportunities and minimizing stockouts.
“With this release, we’ve moved from reactive to proactive merchandising,” says Katarina Herikh, Product Manager at LEAFIO AI. “We’re giving retailers a tool that doesn’t just show how shelves performed—but how they will perform. It’s a game changer for profitability and customer satisfaction.”
How It Works: Turning Forecasts Into Shelf Strategy
The new AI Demand Forecasting feature brings clear operational benefits:
- During autofacing, the system automatically increases or decreases the number of facings for each SKU based on forecasted demand.
- Retailers can proactively stock shelves for future sales trends—avoiding both out-of-stocks and excess inventory.
- This enables smarter use of shelf space and more strategic merchandising planning.
For example:
If LEAFIO’s forecast predicts a 20% sales increase for a specific energy drink next month, the autofacing tool can automatically allocate additional facings to that SKU in high-traffic stores—ensuring optimal visibility and availability when demand peaks.
The feature also enhances A/B/C analysis by incorporating forecasted performance, helping retailers refine their product hierarchy:
A products — High-demand items requiring maximum shelf presence
B products — Steady performers with balanced facings
C products — Lower-potential items, ideal for reduced facings or removal
This ensures every inch of shelf space drives value—improving merchandising ROI while creating a better shopping experience for consumers.
Precision Forecasting at the SKU-Store Level
At the core of this innovation is the LEAFIO AI Demand Forecasting model, which generates highly precise forecasts at the SKU-Store level—meaning individual models are built for each SKU in every store.
The model processes a comprehensive range of data inputs:
- Demand factors (seasonality, trends)
- Promotions and pricing changes
- Calendar variables (holidays, public events)
- SKU characteristics (for analog product matching)
- Market events (new product launches, discontinuations)
It can autonomously identify high-season categories, transitional sales periods, and variable-date holidays, and even intelligently restore sales data by replacing missing figures with reliable analog product benchmarks.
This depth of forecasting capability gives retailers an unparalleled ability to plan not just inventory—but entire merchandising strategies—weeks or months in advance.
Powered by LEAFIO Inventory Optimization
The demand forecasting feature in Shelf Efficiency is further enhanced through deep integration with LEAFIO Inventory Optimization. This ensures forecasting models are continuously informed by real-time inventory data and purchasing trends, creating a fully synchronized loop between forecasting → planogramming → replenishment.
With this platform-driven synergy, retailers can:
- Eliminate siloed merchandising and inventory planning processes
- Increase the accuracy of both demand forecasts and inventory decisions
- Drive higher on-shelf availability and optimized inventory turns
About LEAFIO AI Retail Automation Platform
LEAFIO AI is a comprehensive retail automation platform that empowers retailers across the globe to optimize inventory, merchandising, and operational efficiency. The platform covers key retail functions including demand forecasting, inventory optimization, planogram generation, shelf space analytics, and promotion planning — all powered by AI.
By seamlessly integrating these functions, LEAFIO AI enables retailers to deliver smarter operations, higher profitability, and a superior in-store customer experience. Built on a flexible architecture, the platform supports easy data exchange with external analytics systems and retail ecosystems.
A Smarter, More Predictive Retail Future
This latest innovation continues LEAFIO AI’s mission to help retailers stay one step ahead in a fast-moving, competitive marketplace.
AI-powered planogram generation is not just about better shelves today—it’s about building the shelves of tomorrow.
LEAFIO AI Retail Platform is an all-in-one retail automation platform that helps businesses optimize their core operations: inventory management, assortment performance, and shelf efficiency. Powered by proprietary AI algorithms, the platform automates forecasting, replenishment, planogram generation, and category analytics — ensuring maximum availability with minimal overstock. With deployments in over 35 countries and trusted by top regional and international retailers, LEAFIO AI delivers measurable results such as reduced stockouts, increased shelf productivity, and data-based decision-making across the retail chain.