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Optimize Your Store Inventory - Getting It Right

sowmya Oct-3rd , 2019 0 comments

“ Retailers have lost $1.75 Trillion Worldwide in Ghost Economy ”

If you’re a retailer, this headline should definitely give you pause. What is this ghost economy? How is it related to your inventory woes? Can a retail inventory management system help deal with this?This blog is designed to help you answer all these questions. It will also show how you can optimize your store inventory and get your retail stores on the road to profits and success.

Escape the Ghost Economy with Effective Inventory Optimization

The Ghost Economy is the hidden cost that is costing your business a large part of its revenue. It is associated with out-of-stock, overstock, returns and order issues, which are often not measured, but which are slowly but surely eating away at your profits.A recent study by the IHL Group brought out that retailers have lost $1.75 trillion worldwide because of total lost revenue opportunities in the Ghost Economy!Keeping this in mind, let’s look at 2 vital ways in which you can optimize your store inventory and prevent such losses.

1. Run a Tight Ship With Your Inventory

The importance of having complete control over your inventory cannot be overemphasized. To reduce your overstocks and out-of-stocks, you must know exactly how much inventory you have and how much inventory you will needat any given time. Technology helps with this.

A good retail inventory management system will give you real time inventory datafrom all your store locations. This can help keep an accurate count of the items you have in stock and enable store to store stock transfer to ensure items can be sourced from a different store location if it isn’t available in one store.

Understanding the demand for your stocks is also vital. A retail inventory management system which integratesPOS and stock control functionalities will help with that. A goodretail inventory management system will come with Cloud POS dashboards that give you an overview of each sale and insight into future demand by a sales comparison over time.

2. Understand The Real Value of Your Stock

While we may think all our products are great, there are always some items that are slow moving and don’t seem to work. Decisions have to be made and you may need to pull the plug on these items if you want to control overstock and returns. Ideally, a good retail inventory management system should give you reports and dashboards highlighting slow-moving and fast-moving items, and provide functionalities to help you see the value of your stock.

Inventory aging reports are great tools in this regard. They help you understand how long your products sit in inventory, and help you quantify the cost of maintaining an item in inventory for a period of time.

Enabling all these features for your business may seem like a tall order, especially if you run multiple retail stores. It doesn’t have to be though! RetailbeanLite’s cloud based, omnichannel technology comes with all these features and more, all rolled into one easy-to-use application. Sign up for a free trial to see what we mean. Let’s get you optimized and on the road to profits.

Image Courtesy : https://pixabay.com/photos/shoes-sandals-store-barcelona-2741119/

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