Retail companies looking to increase their bottom line may be overlooking some of the valuable information offered by their ERP software that can help them reduce costs and increase profitability. Here are just a few areas where retail ERP software can benefit retailers.
Inventory Management
Retailers constantly walk the line between ordering too much or too little inventory. A retail ERP system can provide the insight needed to accommodate multiple problems and solutions. For instance, a number of factors must be considered when looking to replenish inventory for each store’s product offering, including lead time, safety stock, and price breaks on re-order quantities. Additional factors include seasonality, carrying costs, and past vendor performance. ERP systems are designed to track these and other factors to utilize the optimal inventory replenishment method across the entire enterprise.
Optimized Product for Each Store
Suppose two different store locations report the same average daily sales numbers. Does it naturally follow that inventory for both stores should be restocked exactly the same? Deeper investigation will typically find that sales at one store were largely due to heavy sales volume from one specific product area, while the second store’s sales were due to a completely different product mix. Retail ERP systems take advantage of these trends to let you across the entire company, identify the stores where products are moving, and allow you to adjust the distribution of products across all your retail outlets.
Decision-Making Capability
Retail ERP systems can really flex their muscles when it comes to looking at raw data and helping you come to decisions about what is working and what isn’t, giving you real-time into your store operations. Everything from how well your customer loyalty program is working to how effective your marketing campaigns are at driving sales to how much sales are affected due to product placement within the store can all be analyzed by your ERP system and optimized for each store. Retail ERP systems provide visibility into many facets of the company’s operations, giving store owners the information they need to optimize their profits, decrease costs, and optimize their marketing spend. To learn more about what retail ERP software can do for your business, of ArcherPoint’s Retail Management Solutions.
About the author
Wm. Matthew Street is a developer and business analyst at ArcherPoint. A retail ERP expert, Matthew has spent more than 32 years focused on driving improvements in business processes, operations, inventory management, business planning, and accounting.
About ArcherPoint
For over a decade, ArcherPoint, LLC, a Northern California Microsoft Dynamics NAV (Navision) partner, has been specializing in helping retail companies replace disparate systems with fully integrated, end-to-end business solutions using the depth and breadth of Microsoft technology and built on a foundation of Microsoft Dynamics NAV. Best of breed applications join together in a single, easy to use solution, tailored to the unique needs of businesses and at an affordable entry point, giving growing companies access to world-class solutions that will grow with them.
by ArcherPoint, LLC
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Apart from all your three points about retail pos software, Retail pos software is useful for marketing and with the marketing efforts integrated into the retail POS system allows you to send emailers, promotional info and updates to your subscribers.
Wow! This article is jam-packed full of useful information. The points made here are clear, concise, readable and poignant. I honestly like your writing style.
Trace various inventory movements from single/multiple warehouses to stores is one significant feature of Inventory Management.