Retail and fashion leaders are facing mounting pressure to streamline assortments, reduce costs and protect margins amid tariffs, inflation and shifting consumer demand. Traditional “more SKUs equal more growth” strategies are proving unsustainable, with SKU inflation creating hidden costs such as inaccurate forecasting, sourcing delays, increased markdowns and planning inefficiencies.

This whitepaper positions SKU rationalization not as simple cost-cutting but as a strategic growth lever. Leading brands like Burberry, Levi’s, Adidas and Under Armour are already simplifying assortments—cutting fringe products, reinvesting in best-sellers and improving focus on premium or scalable product lines. Rationalization enables sharper assortments, improved agility and greater resilience in volatile markets.