While planning continually monitors your class plans and most of our classes use trended rates, we often receive support tickets requesting rates to be unlocked. What does that mean from a planning perspective? To understand this, you must first know the difference between locked and unlocked classes.

Locked Classes

Locked classes are classes where the rates are frozen and do not change month to month. These are often used in specific scenarios, including:

• New Classes: When a class or category is newly introduced, and there is not yet 12 months of historical data*.

• Class in Transition: When a client is rebuilding, growing, or phasing out a class, even if 12 months of data* exist.

• Seasonal Classes: For classes that are out of season or where the season is just beginning, and performance expectations are set, we lock the rate until we have more data on how the season is trending.

By locking the class, we prevent the system from adjusting rates automatically, ensuring stability while waiting for more performance data.

Unlocked Classes

Unlocked classes allow trending to dictate the annual rates. These rates adjust each month based on the latest month-end data and class performance. Unlocked classes account for monthly plan performance, markdowns, and recognize patterns based on recent trends.

• Trending Calculation: Trending considers the performance of the last four months, not just the previous month.

• Dynamic Updates: Annual rates are calculated across the 12-month plan based on the class's model and current trends.

When you request planning to "unlock" a class, you are asking us to apply the trended annual rates calculated by our models. However, if a class lacks sufficient data*, unlocking may not be appropriate, and the planner may need to manually adjust the locked rate based on the available data.

When to Request a Class to Be Unlocked

Before requesting a class to be unlocked, ask yourself the following question:

Does this class have 12 or more months of accurate data, including sales, markdowns, and receiving?*

• If NO: Ask the planner to review the class and determine whether the rate should be manually adjusted or if unlocking is appropriate.

• If YES: Ask the planner to review the model and trending, as the rate may not align with your expectations. The planner can explain why the rate is calculating as it is and make adjustments if necessary. They may also update the model to fine-tune your plan further.

Why Accurate Data Matters

Our best predictors of annual rates rely on a minimum of 12 months of accurate, comprehensive data*. This includes key data points such as sales, markdowns, and receiving. With this information, our models blend historical data with industry-wide trends from our extensive client base to deliver the most accurate and effective planning possible.

Our goal is to help your business grow and achieve measurable success. Your input and clear communication are vital in ensuring we meet and exceed that goal.

Note: When discussing data, we are referencing accurate, comprehensive data, including the following critical data points: sales, markdowns, and receiving.