Why Retailers Are Choosing Inventory Management Software
Any retailer, both online and offline would agree that inventory management is crucial to business success. As the market is increasing and sellers are introducing long product lines, inventory management is getting more and more complicated. Keeping updated with the products is hard, but at the same time, no buyers is impressed by the “out of stock” sign. Consequently, online retailers are switching to third party inventory management software to make their stocks more organized and updated. There are several ways how inventory management software may help an online retailer. Here are the top 5 points:
1. Eliminating human error
Manual inventory management in online retailing is time consuming and challenging. Further, “it is only human to make mistakes”. Having dedicated software for the process can eliminate such errors and also reduces the businesses time, effort, energy and investment spent in the same. The money saving is substantial enough when compared to pen and paper methods.
2. Saving time with automation
Online inventories can be easily streamlined with the process of selling and shipping and in no time. Whenever the stocks get exhausted, the software will automatically notify and provide options, whether to restock or end the product, depending upon the demand and manufacturing. The automatic inventory management will also make it easier to bulk print receipts, shipping labels, attach tracking number for every order and even provide analytics about the market.
3. Getting live updates
Live updates about the stock labels allow sellers to have the latest information about the inventory and strategize the timing to introduce new products. This would be highly beneficial as sellers won’t need to log into multiple systems for countless number of times every day and ensure consistency in stocks. The software will also let retailers ensure that there are no surprises about the inventory.
4. Syncing stocks
For sellers active on more than a single ecommerce website, inventory management software can sync stocks under different sales channels. Many sellers work with eBay, WooCommerce and Amazon and once a sale have been made on eBay, the inventory of all the sites will get updated automatically. You no longer need to log into each individual account to update the inventory separately.
5. Understanding sales figures
Not everyone is a mathematical genius and this makes it hard to interpret sales figures and fluctuating demands. Inventory management software can be fed with formulas and programs that automatically derive these calculations from the resulting sales and purchases. They can even be programmed to generate customized reports pertaining to particular markets, specific product lines, age specific purchases and other important sales statistics. They thus would be a crucial tool in devising sales strategies from previous data.
Inventories should neither be inadequate or excessive. Excessive inventories will result in tied up resources and negative expiries. On the other hand, inadequate inventories will result in losses when customers will switch to other sellers after being disappointed on your website. Inventory management software will help keep the stocks at optimal levels. They also make sure that nothing is misused, lost or tied up. Everything is tracked and accounted for, making business processes more streamlined and easy.