When a hot new product is flying off the shelves, the only thing that could bring you down is running out of it. Missing out on sales because you’re out of stock means missing out on revenue. A reorder point formula calculates when you need to place a new order to replenish stock. But shipping still takes a few days, even with that time table. So how do you manage your inventory and your reorder point? Integrated technology has the answer.
The Reorder Point Formula
A traditional reorder point formula calculates when you need to restock based on a few different factors. The reorder point formula is based on:
- The number of units you sell over a given period of time
- The time it takes to receive stock
- The stock you need to avoid running out of inventory
Each of these factors have their own calculations, which is time-consuming to figure out. It’s especially difficult if you don’t have an integrated inventory management system.
Inventory management systems take the guesswork out of managing your stock. They automatically reorder stock for you if inventory is low. No more counting up stock at the end of the day to see if you’re running low – the system does it for you.
Use Catalog View for Easy Checkout
Using an integrated system gives you access to a catalog view so you can enter new inventory. The beauty of an integrated system lies in its versatility. You can snap a photo of an item’s barcode, enter its information, and instantly update your inventory. The item is now in your catalog, ready for checkout.
Integration means you can manage your physical stores and online store in one place. You won’t have to manually remove an item from your online store every time you sell out in-person. And since the system is integrated from the start, you can access the catalog from other devices. This saves you time and extra work organizing your catalog.
Save Time at Closing
Using integrated payment technology also helps you save time at closing. You can see a summary of your sales and sales trends with performance analytics. This is especially useful if you’re planning a promotion and need to think about your inventory. Combined with automatic reordering, integrated systems cut your work in half. You can plan sales, check inventory levels, and watch sales trends from one convenient platform.
Using technology to manage your reorder point is the perfect solution for saving time and increasing revenue. Check out our merchant services for retail businesses.