Retail Merchandise Profit Recovery
Tech-enabled cost recovery opportunities built for retail
PRGX retail merchandising audits combine purpose-built technology and AI with decades of expertise to help you recover more revenue, more promotional allowances and rebates, while strengthening procurement processes for healthier margins.
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PRGX retail merchandising audits combine purpose-built technology and AI with decades of expertise to help you recover more revenue, more promotional allowances and rebates, while strengthening procurement processes for healthier margins.
A comprehensive tech-enabled approach with whole business health benefits
Healthier margins
Comprehensive promotions process audits that cover purchase allowances, rebates, warehouse and DSD promotional activities, damages, and scan programs.Stronger processes
By comparing transaction data with contract agreed-upon terms, price lists and emails, we’ll identify the root cause of issues with AI-driven technology and expertise to strengthen procurement and prevent future pricing errors.Leaders in retail
With 50 years of experience in retail cost recovery and industry-leading technology, our retail audit clients get 10X ROI on average.Dynamic processes to drive revenue opportunities
Today’s retailers operate in a complex environment with vast numbers of vendors, stock inventory, and transactions — potentially leaving millions in revenue hidden from sight — so we create more robust processes to maximize your cash recoveries.
Why Choose PRGX
Retail Profit Recovery SERVICES?
The Importance of a Recovery Audit in the Retail Industry
Retailers face a vast and complex data environment to manage.
Paul Redsull, PRGX Vice President, provides a quick overview of the PRGX Retail Recovery Audit. Learn how we deliver retail profit recoveries and provide root-cause insights to prevent overpayments and pricing errors, designed with the unique needs of our retail clients in mind.
6 steps to increased margins
We do a comprehensive analysis of supplier contracts, price lists, emails, and several other data points with specially trained AI and technology to identify and recover overpayments. Our proprietary technology + human expertise approach to retail cost recovery leads to increased cash flow and improves procurement-supplier relationship management.
Why work with PRGX?
Putting S2P data at the heart of healthy businesses
We believe S2P data is packed full of insights that can benefit the health of the whole business. From the big picture across departments to the critical details within the supply chain, it’s where you can find all the information you need to create healthier processes, relationships and margins — and we have the experience, technology and expertise to help you unlock it.
Experts at managing relationships, risk, and recovery
An industry leader with a track record spanning 50 years, we’ve helped the world’s largest retailers and suppliers recover billions in revenue. Our vendor-sensitive delivery approach means we work transparently with suppliers to identify process improvements, smooth out disputes, and recover revenue.Retail Merchandise Profit Recovery
What are the two primary types of recovery audits?
There are two main types of recovery audits:
- Accounts Payable Recovery Audit: This involves reviewing AP transactions to recover lost profit from overpayments, under-deductions, missed discounts, and other errors in the Source-to-Pay (S2P) cycle. It’s widely considered a best practice by the world’s leading companies.
- Retail Merchandise Profit Recovery Audit: This audit focuses on analyzing retail merchandise transactions to identify and recover lost profit due to errors like mispriced promotions, missed discounts, under-deductions, and vendor funding mistakes. These audits are tailored specifically for the retail industry.
Why isn’t the status quo enough for Retail Profit Recovery?
While many retailers have strong controls, defined accountability, and reporting systems in place, risks still persist. Global organizations can lose up to 3% of value due to payment errors and fraud. Failing to modernize retail audit processes can lead to:
- Heightened risk of overpayment, duplicate payments, and fraud.
- Increased financial leakage.
- Poor cash flow visibility.
- Eroded supplier trust.
What unique S2P challenges do wholesalers, grocers, and retailers face?
Wholesalers, grocers, and retailers often encounter more Source-to-Pay (S2P) challenges than many other industries due to the nature of their operations, including:
- Managing a large number of suppliers.
- Constant SKU turnover and high transaction volumes.
- Staff turnover in category management roles.
- Navigating complex trade fund deals amidst low margins.
- Historical underinvestment in IT and massive system complexity.
- Low compliance levels across the business.
Ongoing pressures on margins and net profit. - Delayed maturation of GNFR (Goods Not For Resale) spend and processes.
How does PRGX’s Tech-Enabled Retail Merchandise Profit Recovery work?
PRGX serves as a best-practice backup control, offering a cost-effective, zero-risk recovery solution to capture the 1–2% of profits often lost due to system, process, or policy gaps. Key benefits include:
- Protecting Profits: Catch duplicate payments, missed credits, and overbillings without disrupting your operations.
- Reinforcing Controls: Acting as an independent, expert validation layer that complements your existing finance processes.
- Continuous Improvement: Offering root-cause insights to strengthen your systems and prevent future profit leakage.
Even with 98-99% accuracy in your processes, the remaining 1–2% could translate to millions of dollars in profit left behind.
How does a tech-enabled Retail Merchandise Profit Recovery help departments thrive?
Retail Merchandise Profit Recovery helps departments thrive by combining advanced technology and AI with deep industry expertise to:
- Uncover hidden profit opportunities by identifying overpayments, missed credits, and promotional discrepancies.
- Provide root-cause insights to improve processes and prevent future profit leakage.
- Reduce financial risks and streamline workflows, enabling better collaboration across teams.
- Strengthen supplier relationships with a vendor-sensitive, transparent approach.
- By leveraging AI and expert insights, PRGX helps transform departments into thriving, profit-driven operations.
