Retailers face an uncertain future with merchandising processes, the key factor in their differentiation, in some disarray. Over the next three years, a minority already plans a massive overhaul — but in a cruelly competitive market, many more should consider the competitiveness of their merchandising processes and the options for making incremental improvements. Specialty and general merchandise retail planners and category managers must deliver assortments that are more compelling for their target markets. They have to act now to combat muscular discounter and specialist attempts to poach their cash-strapped customers.