The best way for resellers to supply their customers’ demand to ensure they have the right amount of stock at any given time. An effective retail inventory management solution helps retail partners carry the right amount of consumer products that are in demand—neither too much nor too little. Leveraging the right retail solutions and methods results in lower costs and greater insights into sales patterns. The insights gained from inventory management make it easier to manage business functions such as product locations, profit margins of all consumer products, quantities of each type of product offering, and when to discontinue a product.
How does inventory management help retailers?
The ability to accurately forecast demand can make or break a retail store. Sitting on too much inventory that isn’t selling ties up your capital and affects costs. A shortage of in-demand consumer products causes you to lose customers to competitors. Inventory management software helps merchants access insights on historical sales data which can be used to forecast inventory needs. Weekly and monthly sales reports show where and when to invest in a stock, and show the performance of each type of product as well.
Smart inventory management ensures your customers can purchase the products they want when they want. The ability to track the stock-keeping units (SKUs) available, where they are located, how many units are available and the condition of each unit helps ensure a consistent, excellent customer experience. Only storing the exact amount of inventory you need reduces storage costs, reduces the likelihood of deadstock, and helps improve demand planning. This leads to better cash flow and money savings.
Enhanced Retail Solutions is a leading provider of software that helps retailers, suppliers, and brands sell inventory faster, create accurate demand planning, and gain deeper insights into sales. ERS clients benefit from the collecting and integration of critical data to improve inventory productivity. This SaaS offers planners, suppliers, buyers, licensors, and distributors POS analytics, retail analysis, automation tools, and demand planning solutions that will improve each clients’ bottom line. Enhanced Retail Solutions provides quick results for retail trading partners across all industries.
Combining sales and inventory data makes reporting easier.
Retail solutions integrate sales and inventory data in one centralized place to provide accurate insights into which products have a high turnover and which products are underperforming. This data helps resellers determine when to place a purchase order, how much new inventory to order, and when to discount or offer promotions on products. Automation tools eliminate the need to manually check stock levels and instead send re-order alerts when inventory levels reach a certain point.
Buying bulk wholesale products is a smart way to further reduce your inventory costs, especially for resellers of consumer electronics. Go Wholesale offers refurbished wholesale electronics from a range of tech categories and brands. You can enjoy low minimum order quantities on hard drives, tablets, smartphones, laptops, and accessories. The refurbished electronics wholesalers thoroughly test, sanitize, and reset all consumer electronics so that they are ready for sale. Buying wholesale electronics ensures that your customers always receive the highest quality products.
Various Methods Big Box Stores Use
There’s more than one method that big-box retail partners use to manage their inventory. The first-in, first-out (FIFO) method means that the products acquired first will be the first products to sell. The last-in, first-out (LIFO) method works opposite of FIFO: the most recent product purchased will also be the first product sold. The Just-in-Time (JIT) method follows a more as-needed approach to inventory management. Retailers who practice JIT order inventory according to sales data. This method reduces risk and expenses while maximizing profit.
Succeeding in the retail industry requires an effective retail inventory management system. Retail partners who understand how to manage their stock levels can drive sales, create a consistent customer experience, and keep their budgets under control.