What is EMV and How Does it work?
A new report by Sage, reported that in Q1 of 2016, only 39 percent of small and medium businesses (SMBs) have implemented the required technology to accept Europay, Mastercard and Visa (EMV). Why the lack of adoption?
- Carry too little inventory, and you forfeit potential sales. Worse still, those customers may become lifelong clients of your direct competitors.
- Hold too much inventory, and you're wasting money on storage, employee hours and even insurance.
The True Impact of Insufficient Inventory Management
Many businesses ignore (or underestimate) the importance of inventory management, making it difficult for them to assess what impact slack capacity has on their bottom lines.
However, below are some inventory management statistics that may shock you:
- Retailers Sit on a Lot of Unused Product
Unused inventory ties up an estimated $1.1 trillion in capital nationwide — a figure that represents nearly 7 percent of America's gross domestic product (GDP).
At the micro level, the average U.S. retailer holds about $1.43 in inventory for every $1 in actual sales. What’s more, the number of "days inventory outstanding" has risen over 8 percent in just the past five years alone.
This problem exists throughout the supply chain. Thus, even if you manage your inventory efficiently, you may still be overpaying due to poor management by your vendors.
- Smaller Retailers Are Often Unaware of the Problem
The above figures exist across the board, but it is especially pronounced among small to medium businesses; nearly 50 percent of those track inventory by hand — or not at all.
This explains why new positions for logisticians — such as those who handle inventory management statistics for supply chains — are growing at only 2 percent, which is well below the national average for most other occupations.
- More Storage Is Not the Answer
To better handle inventory, many businesses invest in additional warehouse storage. At roughly $5 per square foot, most consider it an affordable investment that allows them to dramatically reduce out-of-stock inventory and boost sales.
Yet it’s still an expense — one made worse as businesses increasingly carry products and services for very niche needs. In fact, the total number of warehouses has increased almost 7 percent over the previous half decade, and 54 percent of warehouses expect to expand the number of SKUs over the next five years.
- Better Technology Should Be the Goal
Investing in more storage may provide temporary and modest gains. Though a better solution involves incorporating mobile and interactive inventory management tools — a fact borne out by the 87 percent of top performers that consistently manage their inventory well.
A full 67 percent of warehouses plan on incorporating mobile technology in the future. Although some hurdles still exist since 70 percent of smart devices can’t carry enough battery power to last an entire floor shift.
NCR Counterpoint POS specializes in inventory management software that integrates directly with the desktops, laptops and smart devices your team already uses. With this powerful platform, you’re able to automate inventory purchasing to create more streamlined storage and delivery flows within your business.
Key benefits of our inventory control system include the ability to:
- Only hold what you need, allowing you to maximize storage space and remove unnecessary expenses.
- Track sales and returns, making it easier to forecast, eliminate and optimize inventory stockpiles.
- Print detailed reports that provide real-time snapshots of how your business is performing.
To learn how our inventory tracking system can help your business, contact us today for a live demonstration or free consultation.
Topics: inventory management
Despite the many benefits a point of sale (POS) system offers your business, you may need to take some additional measures to ensure point of sale security. Here are a few simple ways to confirm that your POS and mobile payment solutions are indeed secure.
Building a successful wine shop or liquor store demands that you have the right combination of products, inventory and service to help you build a competitive advantage. Here’s a look at how a wine shop POS or liquor store POS system can help you optimize your business.
The goal of retailers is to get their products into consumer hands when they want it. Whether you're running an eCommerce site, a brick-and-mortar retail outlet, or a multi-channel operation, following best practices for retail inventory management empowers your team to meet customer expectations and reduce both capital spend and operating expenses.
A point of sale system can streamline your business’s internal processes and improve customer experience. Here are eight simple ways to unlock the power of POS in your business:
Topics: point of sale
You don’t have to run a large sporting goods company to form the competitive advantages that attract customers and incentivize them to keep coming back. Here are four ways to enhance your sporting goods store.
Topics: sporting goods
As spring approaches, your potential to renew relationships with past customers and begin working with new prospects is in full bloom. Here’s how some mobile payment solutions can help you stand out from other landscaping providers, and make a lasting impression on customers.
Topics: mobile POS
In the retail world, inventory is one of your most valuable assets as a business owner. And while most business owners understand the importance of managing inventory, it can often be looked over on the priority list which can often lead to making and repeating a number of small mistakes. Below we’ve shared common retail inventory errors and how you can resolve them.