Assortment analysis examines the composition of a retailer's product catalog: what categories they carry, depth within each category, price point distribution, brand mix, and how assortment changes over time. This reveals strategic priorities and target customer segments.
Key assortment metrics include: SKU count by category, price tier distribution (entry/mid/premium), size/color variety, new product velocity (how often products are added), and discontinued product rate. Changes in these metrics signal strategic shifts.
Competitive assortment analysis identifies whitespace opportunities (categories competitors don't cover well) and overcrowded segments (many competitors with similar offerings). This intelligence informs product development, merchandising, and positioning decisions.