It doesn’t take long in retail to appreciate that organisation and automation are vital. As soon as you smell the first whiff of success, the sooner you’ll need good systems in place. Without them, you’re left chasing your tail. That’s why all successful retailers take stock-control systems and inventory-management software seriously.
Choosing the right inventory software is an important decision. Even if you’re a small business, you need a capable system that can handle complexities (that you maybe haven’t thought of), simplify your retail business life and allow you to grow. But unless you’re a massive empire, paying an excessive price for enterprise-level software will likely be a waste of money. It’s about finding that sweet spot. We’ll discuss this further below.
TIP: Before you choose your inventory-management software, discuss your needs and objectives with an experienced retail software professional. Retail Express offers free customised demonstrations. We’ll ask questions and listen to your needs, then tailor a demo specifically for your business. Then, you’ll discover exactly how Retail Express can fast-track your road to success.
Get a free demo today with an Australian-based retail expert.
Stock control and inventory-management software are vital because they allow you to have the right amount of product at the right place and the right time. With the best balance in place, you can save valuable time, maximise profits, and minimise waste.
But that’s not all.
Every part of your business is affected by inventory-management processes.
Inventory-management software ties everything together in one central database and control system. In conjunction with your POS system, it coordinates the ordering, flow and audit of stock levels across all business areas. This makes it easier and far more pleasant for your staff, vendors and customers, giving them a far better customer experience.
With good retail stock-control systems and software, you win at every turn.
Stock-control terminology can get confusing, though. So let’s break down these terms with a language you’ll understand. Then, let’s highlight what to look for when choosing the right inventory management software.
With good stock-control systems and software, you win at every turn.
A stock-control system, aka an inventory-control system, includes all the procedures and functions involved in managing your stock within the warehouse. These inventory control activities include receiving and storing goods, stock-taking, fulfilling orders and returns and tracking goods. A retailer’s stock-control system will use various hardware and software as well as human labour and management.
An inventory-management system goes further than inventory control. It includes the entire process of forecasting retail demand, ordering and managing the stock on hand. ‘Management’ is the critical word here. So while stock control is based on controlling and counting, inventory management is about managing the whole operation at a higher level.
Inventory management software is the software used in inventory control and management. It records the above activities, such as incoming and outgoing stock, the amount of stock at each channel, fulfilment and returns. Additionally, it helps the retail business enormously by using automation and algorithms to forecast retail requirements, replenish inventory and much more. It’s a vital part of your business.
You may be tempted to DIY your way through with Excel spreadsheets when you start in retail, as they did in the old days. But retail businesses didn’t grow quickly back then — and they didn’t require omnichannel software. Also, DIY takes valuable time (and money), and you’ll still face problems: problems that can be eradicated with software that you can likely afford — and that will make life much easier as you grow your retail business.
Ask yourself:
And think about all that time and money:
Finally, if you plan to expand:
How will you manage your inventory without good software? How will your various systems and channels talk to each other? As your business grows, you’ll need to manage multiple channels and stay on top of stock levels and availability. Spreadsheets and intuition won’t be enough.
Today, inventory and POS software are vital for retail business success.
Let’s look at the retail inventory software you’ll need.
In a marketplace where one-click ordering and fast delivery are the standards, your retail stock-control software and systems must at least tick the following boxes:
Remember, you need to be able to grow your business. Avoid the temptation to grab any cheap software just because it appears to tick a handful of boxes. Therefore, you must look for winning software that can take you further with the following valuable features and benefits:
Digital stocktakes – for improved accuracy and efficiency
Look for a digital retail stocktake system with more than one way to scan your stock digitally. You’ll need to perform an inventory count while your store is open, which can factor in sales while your stocktake is underway. If you’re performing a cyclical or partial count, ensure your system stores the record of your last count and the product area where you work.
Manage large inventories and complex product portfolios
Your inventory control software will need to address your retail requirements, such as complex product portfolios with different brands, colours, styles and sizes. For example, it should be able to edit product information quickly, update data in bulk and schedule permanent price markdowns for outdated products.
Automated store replenishment – eliminate overstocks/understocks
Automated store replenishment can automatically calculate the optimal inventory mix for each store based on real-time data and actual demand. It can automatically allocate stock based on store performance, so your best stores get the required stock first. You can factor in variables like run rates, supplier lead times and stock statuses for better inventory planning. And, you can create stock transfers automatically, saving admin time.
Endless aisles – never miss a sale
By centralising all your data, good inventory management software will offer all stock online, so you’ll show the broadest range of products and maximise your sales potential. Your staff can source stock from other stores or warehouses, and you can offer highly desirable services such as Click & Collect.
TIP: Are you offering Click & Collect? According to Inside Retailer, it’s extremely popular among Australian customers. And you’re likely to make additional sales when customers collect an online order in-store. Find out more about launching a Click & Click strategy for retailers here.
Once an efficient inventory management system is in place, you’ll have much to look forward to. You can:
Your staff and customers will love you, too, as you can:
Retail Express is the #1 cloud-based point of sale software in Australia and New Zealand. Made by retailers, for retailers, we know what you need in your inventory management software. Our software has enabled thousands of retailers to enjoy an improved return on inventory, drive more sales and offer an outstanding customer experience for your shoppers.
Look forward to the following features: