For how long can you afford losing customers because you cannot manage your out of stock mess
In the world of retail, every time a stockout happens, you fail as a business. It represents your inability to fulfill your customer demands. The repercussions of stock out on your retail business are in plenty and you inquire heavy losses year after year for the same. The biggest after effects of stock out is you not only lose potential revenue but also customers. The stockout problem has inflicted the retail business since years like an incurable disease that seldom seems to cure.
In today’s competitive world where more than 60% online shoppers are plagued with out of stock problem. It is something that cannot be afforded, for the costs are too much to pay. How do business fight this menace is the question? Perhaps the solution lies in your ERP system. Let’s check out.
Even today Retailers mostly rely on manual and tedious slow processes for managing inventory. In the past few years, there has been a considerable advancement in technology that can give you clear visibility in your nearby store's inventory. Many a time, even when the out of the stock item can be found at a nearby location. There is no effective process to confirm availability of the item and ask the item to be reserved for the customer.
The bigger question arises, how do retailers on a consistent basis fulfill consumer demands for an out of stock item? There has been a certain section of retailers who are tackling this question really well with an integrated system and an energized supply chain system that can adjust inventory levels across their channels.
These retailers are tackling this solution in the smartest way by intelligently getting out of stock products for customers by sourcing them from another inventory from another location regardless of the channel. It ultimately leads to immediate customer satisfaction and an improved overall shopping experience for the customer.
So the answer to out of stock solution lies in gaining end to end inventory visibility across all channels of your business.
But many companies would struggle to do so because most of them manage their retail, wholesale and e-commerce channels as separate units with separate inventory units. It is high time businesses change their mindset and work to integrate this channels in one single system because it has become visibly clearly that an integrated system is a necessity to manage consumer behavior in the best possible way.