Merchandising used to be an art. Now, by necessity, it’s becoming more of a science.Retailers trying to win not only in their home market but in a wide range of international markets, are turning to more sophisticated software to provide them with a guide to what’s likely to sell.With the past no longer an accurate predictor of the future, the best in class software provides advanced predictive capabilities. Whereas older software focused on hindsight analysis, new “automated technology solutions have a more strategic mind-set with a focus on proactive category management,” according to a report from McKinsey and Company.According to IBM’s Watson, cognitive technologies are helping retailers systematically evaluate a range of different data points to build and execute their pricing strategy.“When dramatic changes in demand or aggressive promotions from competitors hit the market, it’s possible to immediately know and automatically orchestrate prices across channels — ensuring consistency and a positive brand experience at every customer touch point,” wrote Rob Poratti, IBM Watson Commerce Product Marketing Manager.Overcomplexity in the retail merchandising process, is another challenge often leads to poor decisions about what ends up on the retail selling floor.Often there’s too much sameness. Products don’t enhance the store or website’s overall sales. Instead they provide clutter, which makes it difficult for the consumer to decide which product to purchase.When consumers are faced with too much choice they often get confused and decide not to buy anything. By understanding what products your customers are likely to buy, you can eliminate many of the products that are not likely to perform well, and by doing so actually increase the chance that other products will sell well.The New TechnologyAble to handle larger amounts of data - and analyse it faster.Provide more frequent reports on merchants’ experienceAutomated robotic processesCognitive-powered technology is making it possible to recognize customers across devices and personalize their experienceCan track consumer behaviour (online) and adapt pricing.