Inventory is the lifeline of any commerce, be it online or offline. With the boom in the eCommerce industry, the need and significance of efficient inventory management have increased exponentially making space for a lot of technological solutions. Effective inventory management can help your business grow by giving both monetary and non-monetary benefits. It enables you to cater to every possible sale, helps you hit the delivery deadlines and make the best use of available inventory.
Let’s discuss some inventory management hacks every seller must know:
Reduce Human dependency
Understand the sales trend
Though you can never achieve XYZ accuracy in forecasting, understanding the sales trend is very important. Know your fast-moving products and classifying them on different criteria by season, sale, or time of the year. This can actually help a lot in order to maintain safe inventory levels. The purchase of inventory on the basis of the sales trend is the first step to an effective inventory management policy.
Keep the inventory centralized
Selling on multiple online and offline channels? Maintaining multiple warehouses at different locations? If you are one of these and still maintaining the inventory in spreadsheets, the good news is you’re doing it all wrong. This not only results in poor utilization of inventory but also hits your profit margins significantly. Always keep the inventory centralized this enables you to cater a number of orders, save on the shipping costs, and also ensures on-time delivery. Having a technological solution for centralized inventory management can prevent situations like getting extra orders or fewer orders due to updated inventory.