Whether you run a retail store on the highway or an online e-commerce store, stocking is very pivotal to your business success. Poor stocking and restocking can be very injurious to your business. The best retailer and e-commerce stores are built around effective stocking management. Perplexing stocking can be a strain on your finances, too little stock could devastate your customer base and incorrect stock could result in lost profits and a waste of resources. If you want to stay on top of your A-game and master your stock management, start with these top five recommendationsRead more about Business
Calculate Your Sales History To Forecast The Future
For retail and store owners, knowing your sales history is very crucial. If you don’t have a detailed understanding of previous sales data and patterns, ask yourself, why not? As a retailer, you must know your stock history and the patterns of demand among your customers. Knowing what goods customers demand frequently should be in books. You should understand what product you have sold for some time, when you sold it and where is crucial for predicting future sales and ordering the correct quantity of stock to satisfy your customer base and avoid complications. Monitor trends, know your bestsellers, your slow movers and use this knowledge to create your sales forecast.
Stop Taking Stocks Manually, Rather Go Digital
In the current trends of business, retailers should avoid manual stock takes and spreadsheets. Employing the use of software and warehouse inventory management systems can help you in saving a lot of time and guaranteeing that your stock takes are accurate. Whether you sell 200 or 200,000 products, tracking and controlling your inventory is also mainly vital. With the right management system powered by AI software, you can prevent any miss-shipments, reduce errors in the packing process, locate inventory quickly and track your inventory levels in real-time.
Stock Only What You Need
Capitalising on your sales history, you can always know what your customers want and what products you should keep. In stocking, you must understand the seasonal peaks using your sales history data. Holding too much stock can hurt business performance. It keeps your capital tied up and requires additional space to house it too. For cases where your retail store is on insurance premiums, too many stocks, especially when unnecessary can be very expensive. All of this is unwarranted, with a good stock management system you won’t end up with tons more products than you ideally need!Sign up to the Connect Nigeria daily newsletter
Be Cautious Of Supply Chain Risks
As a retailer or e-commerce platform owner, it is advisable to diversify your supply chain. When it comes to stocking and restocking your products, putting your eggs in one basket is a huge risk. Therefore, develop a level of trustworthy relations with several suppliers to avert the disappointment that comes with just having a single supplier who might not be available, which can make your inventory empty and cause your customers to be agitated. It is good, as a retailer, to have a backup plan or plan B.
Consider How You Arrange Your Inventory
How you store your stock is also vital. To reduce mistakes and save time when staff need to search for the correct item, you need to ensure stock is labelled clearly. For example, you design your retail according to sections and brands. There should be for instance sections for cosmetics, beverages, toiletries, condiments and so on.Featured Image Source: AlibabaGot something you want to read about on our platform? Contact us: editor@connectnigeria.com
