Here are 6 quick takeaways that could save you time, money and stress while improving real-time inventory visibility, warehouse management and in-store sales.
1. Stockouts are sneakier (and costlier) than you think
Nearly 1 in 4 retailers realizes they're out of stock only when a customer tries to buy. Not ideal. Even worse? A similar number permanently lose 10-25% of customers after a poor stockout experience and 16% of retailers say up to half of customers never return after such shortages.
2. Most retailers are still counting inventory levels manually
Over half of retailers still rely on manual counts and lack a true inventory plan, leading to retail inventory gaps. Some are even forecasting and managing allocation by gut instinct. That’s risky business in a world where supply chains are unpredictable and customers expect speed.
3. POS and inventory tools still don’t talk to each other
A third of retailers say their systems are disconnected or glitchy. That kind of breakdown in functionality leads to messy syncing, missed orders, unhappy customers — and an inability to improve inventory visibility.
4. Inventory ties up a lot of your money
For most small retailers, inventory eats up a whopping 20-60% of total business capital. With financing costs up, that’s a painful balancing act between keeping shelves full and paying the bills.
5. Retailers know what they need but don’t think they can afford it
Nearly half of small retailers want real-time inventory data. The problem? Cost and training time. Running a shop doesn’t leave much room to adopt complicated systems, even if they’d help in the long run. Simplicity matters.
6. When stockouts happen, the fixes are manual and expensive
Most retailers try to smooth things over with discounts, back-in-stock alerts or personal communication when facing an overselling issue or lack of inventory. Some even pay up to $150 to rush a missing item back in stock. When automation is missing so is inventory accuracy and order fulfillment.
The bad news and the good news–and what you can do about both
Inventory problems might feel like a backroom issue. But our research shows that these disruptions are actually front and center — these challenges in inventory management affect customer experience, cash flow, profitability and growth across sales channels.
The good news? Even small changes can make a big difference when it comes to accurate inventory and improving inventory visibility. You can streamline sales and optimize inventory levels and customer satisfaction with demand forecasting and scalable strategies.
Want to learn how other retailers are adapting?