🔠 The ABC-XYZ Classification Settings
For webshops with a wide, complex range of products, a simple A/B/C ranking might not offer enough granular control. The ABC-XYZ Classification feature allows you to categorise your assortment using two independent parameters, creating a highly precise 9-box matrix (AX through CZ).
This enhancement gives you ultimate strategic control over where you invest your buffer stock capital.
🎛️ 1. Defining Your Matrix (ABC & XYZ Settings)
At the top of the page, you will define the two separate rules that will evaluate your products. For both the ABC settings and the XYZ settings, you can choose from three evaluation metrics:
Margin
Revenue
Number of sell order lines
How the Matrix Works (The "AX" Example): By combining two different metrics, you can easily identify your true MVPs. For example, if you set your ABC category by the Number of sell order lines and your XYZ category by Revenue:
The system will find your most frequently ordered items (A) and cross-reference them with the items that generate the most revenue (X).
Products that fit both criteria become AX products. These are your best-sellers that also return the highest profit!
Setting the Percentages: Just like standard ABC classification, you must dictate the percentage split (e.g., 70% / 25% / 5%). You can set the XYZ percentages to whatever split best fits your strategy.
Strategic Note: If you select the exact same metric for both ABC and XYZ (e.g., "Revenue" for both) and use the exact same percentages, the XYZ layer will have no real impact. Make sure you use two different metrics to get the most value out of this feature!
🎯 2. Desired Service Level Per Category
Once your parameters are set, you unlock the 9-box grid. Here, you can set a highly specific desired service level for all nine categories (AX, AY, AZ, BX, BY, BZ, CX, CY, CZ).
This allows you to be incredibly precise with your purchasing strategy. For example:
You might set AX (High Volume / High Revenue) to a very aggressive 98% to ensure you never run out of your most lucrative items.
You might set AZ (High Volume / Low Revenue) to a slightly lower 95%, because while they sell often, tying up massive amounts of capital in low-margin buffer stock isn't cost-effective.
You might set CZ (Low Volume / Low Revenue) to 90% or lower to prevent deadstock.
⚙️ 3. Advanced Settings
At the bottom of the page, you can open the Advanced Settings to configure your baseline data parameters:
History Length: The number of days in the past the algorithm will use to determine your product categories. This value heavily influences your forecasting, as it determines how far back Optiply should look to calculate your seasonal baseline (up to a maximum of 365 days).
❓ 4. Frequently Asked Questions (FAQs)
Where can I see a product's ABC-XYZ category?
Once configured, these two-letter category assignments (like "AX" or "CY") will be highly visible. You can see them directly on individual Product Pages, within the Analytics dashboard, and on the Purchase Page when reviewing your draft orders.
Why don't I see the XYZ options in my settings?
The advanced ABC-XYZ classification is a premium feature. If you are on the standard tier and would like to enable this enhancement, please contact your Customer Success Manager (CSM). Note that extra fees may apply.
I am an Optiply Lite user. Can I use this feature?
No. The XYZ categories feature is currently unavailable for the Optiply Lite version. For Lite users, the standard ABC category is the default and can only be evaluated by the number of sell order lines.