Jesta I.S. Launches New AI Initiative to Transform Retail

Jesta I.S., a pioneer in the development of enterprise ERP suites for brand manufacturers, wholesalers, and omnichannel retailers, today announced a strategic partnership with IVADO Labs, supported by Scale AI, to launch a next-generation AI-powered retail optimization platform. This initiative combines Jesta’s 55 years of retail software expertise with IVADO Labs’ advanced AI research to create state-of-the-art machine learning (ML) models and prescriptive analytics that will redefine retail operations for decades to come.

Hélène Desmarais, Chairwoman and CEO of IVADO Labs, said:

“We are excited to partner with Jesta to combine our AI expertise and Jesta's deep experience in retail to address the unique needs of the fashion industry- predicting demand and optimizing the retail supply chain by leveraging the power of AI and machine learning.”

The platform’s inaugural release, scheduled for the end of 2025, introduces validated, high-impact AI modules designed specifically to address the needs of fashion retail apparel and footwear brands. These modules help retailers meet the challenges of these segments and capitalize on season-driven opportunities. They enable retailers to anticipate demand more accurately, optimize pre-season planning, procurement, and allocation, and streamline replenishment decisions.

• Pre-Season Demand Forecasting – Generates self-learning, highly accurate predictions at the SKU/store level by combining retail data with external factors such as market trends, events, weather, and seasonal factors.
• Pre-Season Assortment Planning – Robust capabilities that allow the buying team to predict the success of assortments and new product introductions with confidence, optimizing buy quantities and allocations before the season begins to maximize sales and minimize overstock – all within the optimized OTB for the business. Optimized models for fashion and basics.
• Mid-Season Forecasting for Replenishment and Stock Balancing – Provides dynamic in-season recommendations that reduce stock-outs and overstocks, improving margins and customer satisfaction. Prescriptive and autonomous capabilities that balance stock models by location.

Each year, billions are lost in revenue due to inaccurate forecasts, excess inventory, and empty shelves. By embedding AI/ML intelligence directly into retail workflows, Jesta’s new AI-powered platform empowers planners to:

• Increase forecast accuracy and reduce lost sales
• Improve ROI and Gross Margin Return on Inventory (GMROI)
• Free up time from repetitive tasks, enabling more strategic decisions
• Deliver consistently better customer experiences

“This initiative marks a new era for retail technology,” said Arvind Gupta, President of Jesta I.S. “By uniting Jesta’s retail domain expertise with IVADO Labs’ AI leadership and Scale AI’s support, we are delivering pragmatic, science-driven innovations for some of the most challenging segments in the industry that don’t just predict demand—they help retailers shape it. It’s exciting to be at the forefront of AI exploration, and I’m looking forward to this new product being transformative in predicting and delivering immersive experiences while elevating the bottom line for our clients.”

Key advantages for retailers include self-learning models that improve season over season, customer-centric, persona-driven planning for localized assortments, configurable guardrails that enable both human-in-the-loop and autonomous decision-making, and an integration-ready architecture that connects seamlessly with existing Jesta solutions and external platforms.

Co-developed with leading pilot retailers and validated on large-scale datasets (500,000+ SKUs), the platform has already demonstrated measurable gains in sales capture, inventory efficiency, and GMROI.

“This platform is already helping us anticipate demand shifts faster and more accurately than ever before. It’s a game-changer for how we plan inventory,” said Jesta’s client, a pilot partner.

Future capabilities are planned to include dynamic pricing and markdown optimization, advanced size and fit optimization, personalized customer insights and product recommendations, and automated product attribution and persona analytics.

With these developments, Jesta aims to deliver the most advanced cloud-based AI-driven merchandising platform in the industry.

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