Good inventory management is an essential part of every successful retailer’s business strategy. That is a bold statement, but it is definitely warranted because it makes perfect sense that a business that uses its assets wisely will be in a better position to thrive than one that goes in the opposite direction and fails to use its assets and resources in smart ways.
WHAT RETAILERS WANT
Let’s think about it a little more deeply. Retailers want to have the right types of products on the shelves and they also want to have the right numbers of those products, as well, because doing so keeps their customers happy.
Customers want to purchase a product as soon as they feel the need for it, and they do not want to have to wait while a retailer promises to get it to them at a later date. They want to simply pluck it off the shelf and pay for it then and there at the cash register so that they can then go on their merry way and make use of the product in the way they see fit. It is a retailer’s job to avoid stockouts and ensure their customers always walk out of their store happy and satisfied, having left their money with the store and taken the products they were seeking with them.
RETAILERS AND WHOLESALERS
Retailers are different than wholesalers and manufacturers in several ways. They mainly work with consumers, and they must accept many types of payments, including cash, credit cards and checks, from customers who are checking out. Retailers should use inventory barcode software to allow them to scan products out and immediately update their accounting and inventory records.
A POINT OF SALE SYSTEM
Fishbowl Manufacturing and Fishbowl Warehouse integrate with point of sale systems, and the company offers its own point of sale solution called Fishbowl Checkout. It includes both hardware and software solutions so that retailers have access to the point of sale tools that they need. With these tools, inventory management becomes less complex. When a retailer uses a barcode scanner to scan a product’s barcode during the checkout process, it automatically updates the inventory software to show the reduced quantity in stock.
FINDING THE RIGHT INVENTORY BALANCE
Retailers need to have the right number of products on hand to meet consumer demand. Having too few products is risky because it could lead to stockouts, dissatisfied customers and financial problems. Having too many products is also risky because customers could decide they want something different, leaving retailers with a bunch of products they will have to sell at a deep discount. And they will also have higher carrying costs and less space on their shelves for more profitable items.
Using inventory software, retailers can save money by preventing both product overstocks and shortages, and helping them reach equilibrium in their inventory levels. Balance is the name of the game when it comes to retail inventory management. This helps them keep more money in their pockets, which they can put to good use in building successful businesses.
Retailers need to track their inventory quantities, reorder items that are getting low, accept payment from customers, and make sure they keep the right goods in stock to please their customers. Inventory software helps them reach these goals.