5 Strategies to Improve Your Inventory Management

2016 has arrived, it is probably a good idea for you to improve your inventory management. As a business owner, we know your struggle about maintaining a good inventory and preventing it from shortage and surplus.

Furthermore, a good inventory strategy is crucial to ensure the strength of your business. here’re inventory strategies you could apply to your spa and salon business:

Revise your sales before ordering

It is important to check the highest and lowest selling product in monthly and annually sales report. This will avoid you from having extra products on the shelves that did not sell. Furthermore, you also can analyze your best selling product seasonally, this way you can avoid telling your customer you are out of stock and make more profit out of it. For instance, in a holiday period such as Christmas customer tend to spend more on gift-giving. 

Budgeting your inventory

Know your number, too much product you order in a month can be hard on your cash flow and it will likely affect your profit. Inventory control is like a chess game, you have to be perpetually flexible to maximize your profit based on your current situation.

Ensure your stock take is accurate

Don’t estimate the quantity of a product you ordered. You have to open the box and count it yourself to ensure you receive the correct amount and get a 100% accurate record for the first time. By having an accurate record, it will allow you to make a correct decision with theft cases and slow-moving product. Other than that, If you have a storeroom, it is always a good practice to keep it clean and labelled for systematic storage.

Think ahead for your delivery time

Your product may take a while to be delivered, always make sure the product arrived on time when you need it, time planning is important to ensure you did not miss the opportunity to gain profits from selling it at the moment you need. For example, if you plan on doing a holiday sales make sure the product arrive at least 2 days before the sales day.

Use WESS to take care of your inventory

If you are still using an excel spreadsheet, we suggest you try our WESS free trial for 30 days. WESS is a good solution for your spa and salon business, it is equipped with inventory management and able to generate inventory report for your assessment and strategic inventory planning.