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Market Updates

Toolio Joins Microsoft for Startups Pegasus Program to Accelerate AI-Powered Retail Planning Innovation

Business Wire | Wed, Jul 30 2025 02:00 AM AEST

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Image Source: Sivastatz

NEW YORK--(BUSINESS WIRE)--Toolio, a next-generation merchandise planning platform for modern retailers, today announced its participation in the Microsoft for Startups Pegasus Program.

Toolio has also launched a strategic integration with Microsoft Azure and is now a transactable solution on Azure Marketplace, enabling Microsoft sales teams to directly bring Toolio’s innovative solution to customers worldwide.

Revolutionizing Retail Planning with Toolio

Toolio is a cloud-native merchandise planning platform that helps retailers make faster, more data-driven decisions. From merchandise financial planning and open-to-buy management to assortment planning and demand forecasting, Toolio provides a single source of truth for retail planning teams.

Trusted by leading modern brands like Boll & Branch, MeUndies, Magnolia, and Rothy’s, Toolio delivers measurable results—saving time, boosting top-line revenue, and improving profitability and cash flow.

“Retailers are navigating increasing complexity across channels and inventory. Toolio’s AI-powered platform delivers intelligent forecasting, merchandise and assortment planning, allocation, and end-to-end analytics, giving retailers the visibility and insights needed to optimize inventory and drive smarter decisions,” said Tom Davis, Partner at Microsoft for Startups. “Through the Pegasus Program, Toolio can now leverage Microsoft’s resources to scale its impact and help retailers operate with greater efficiency and confidence in today’s dynamic landscape.”

Built on Azure: Scalable, Intelligent, and Future-Ready

Toolio’s platform, built on Microsoft Azure with integrations into Dynamics and Power BI, ensures enterprise-grade reliability and speed. Its cloud-based solution offers ease of use, flexibility, connected planning, and rapid time to value through a scalable infrastructure.

By integrating with ERP systems like Dynamics, Toolio syncs critical data such as sales, inventory, product details, POs, receipts, and transfers in real-time. Once finalized, plans are seamlessly exported back to the ERP for operational execution.

Retailers benefit from enhanced data accuracy, streamlined operations, and improved decision-making capabilities, leveraging the power of connected planning and real-time insights provided by Power BI.

The platform also utilizes advanced AI and ML workflows—powering key retail planning functions:

  • Demand Forecasting with XGBoost & LightGBM
  • Clustering stores & products for smarter regional planning
  • Promo & Markdown Optimization based on price elasticity
  • AI-generated Business Reviews with OpenAI
  • Exception Alerts that guide planners to key insights

Toolio’s Future Plans with Microsoft

As part of the Pegasus program, Toolio is working on migrating large-scale datasets, scaling ML workflows with automated model training, hyperparameter tuning, and model tracking, and enhancing monitoring, resilience, and notifications through Microsoft’s observability stack

Toolio’s technical roadmap is closely aligned with Microsoft’s enterprise ecosystem—bringing AI-driven planning to the forefront of retail transformation.

About Toolio

Founded in New York, Toolio is a cloud-based merchandise planning platform helping retailers streamline their end-to-end planning workflows. Built for speed, collaboration, and intelligence, Toolio enables better decisions through data.

Toolio is available on the Azure Marketplace and Microsoft AppSource.

Learn more at www.toolio.com

About Microsoft for Startups Pegasus Program
Contacts

Media Contact:

Steph Byce
Head of Marketing
steph@toolio.com

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