Wholesalers have been facing exceptional challenges in recent years, a trend that is only going to continue. Supply chain and shipping issues combined with record online sales are now making new inventory management techniques a priority across every industry, from manufacturing to retail.
Just as importantly, retailers are also investing more in inventory management systems. A growing number of retailers are looking to “reinvent” their supply chain management systems, integrating them more closely with supplier inventory systems while ensuring that their own customers have access to current and future-available stock.
Exploring Wholesale Inventory Management
For wholesalers, inventory management is the system used to acquire, store, sell and then deliver products to clients. This system is also used to predict customer demand for products and to ensure inventory levels will match this demand.
Why Wholesale Inventory Management Is Different
While every business based on product sales requires inventory management, wholesalers have unique challenges not faced by other types of companies. A primary concern is the customers, such as retailers, who usually need to connect their own inventory processes to that of the wholesalers.
Because purchases are usually made in bulk, the system needs to be secure, yet also easily accessible and easy to use. And since a single purchase by a client can reduce stock amounts by hundreds, if not thousands of units, the system needs to be updated in a timely manner.
7 Benefits of Inventory Management Software
The more reliable the inventory management system is, the more accurate predictions will be. As a result, neither will your business be short on in-demand inventory, nor will your warehouse be overstocked. Here’s a deeper dive into the benefits on inventory management systems for wholesalers:
1. Accurate Inventory Counts
An inaccurate tally of stock levels is frustrating and expensive. Knowing exactly how many units you have on hand ensures customers won’t be disappointed with short shipments and warehouse staff won’t waste time searching for stock they think is misplaced, when in fact, it simply isn’t there.
2. Cost Savings
Being overstocked on items wastes valuable warehouse resources. It ties up capital and costs you money to store it while losing its value as it collects dust in the warehouse.
3. Improved Order Management
When products are received and shipped out in a timely and accurate manner, orders can be closed almost as soon as they’re opened. Constantly reviewing late shipments, unfulfilled orders, tracking expedited deliveries being rushed to clients and following up with unhappy customers not only drains resources it affects your company morale.
4. Increased Sales and Revenue
Having insufficient stock results in lost sales and lost customers who buy their products from your competitors. Efficient inventory management can boost revenue by 10% while reducing lead times by 50%.
5. Business Insights
When you know inventory numbers are accurate and have the ability to review data on seasonal sales trends, you’re able to accurately predict future needs. This gives you the ability to plan ahead and to beat seasonal rushes. While competitors are scrambling with rush orders with manufacturers, your team can focus on fulfilling customer orders.
6. Better Warehouse Organization
Having adequate inventory without surplus, as well as having a keen understanding of what inventory is coming and going weeks, if not months, ahead of time, allows your warehouse staff to better manage space and human resources. Hot-moving items can be placed closest to the shipping/fulfillment area, without palettes and bins of unneeded items blocking the way.
7. Happy Customers
A wholesaler who is able to send items immediately as promised, without short shipments, creates value to customers who will in turn make more purchases. This creates a chain effect, as your customers, the retailers, are making more sales to their own customers. As you help your customers make more money, they will come back with even more business for you.
Software Features Wholesalers Should Look For
Obviously, automatically tracking orders and updating inventory should be the first considerations in any inventory management software. In today’s world, however, this is just the beginning.
Your clients should be able to place orders easily, either through your website or a mobile app. Zoey allows you to personalize the online experience for your customers one at a time or by using customer groups. You should also have the ability to restrict order amounts or the items a customer can order.
Unlike an ecommerce website designed for the general public, a B2B order portal should give customers a secure and private place where they can log in to:
Behind the software, of course, should be the support team – the people you can talk to when you have a question. If you can’t get in touch with a real person before you buy your software, what are the odds you will have someone to call after you’ve become a customer?
Why Zoey Is Preferred by Wholesalers
Zoey provides wholesalers with a powerful and easy-to-use Ecommerce software that can not only make it easy to track inventory evolution as you capture sales, it allows you to take orders from your customers online from any place at any time.
Compared to other software, Zoey reduces administration time by up to 80% and order processing times by up to 50%. This gives you more time to do what you do best: serving your customers.
Zoey also gives you the ability to control who can order and how much they can order. So you never have to worry about inexperienced staff at a retailer ordering too much product they don’t need or products they don’t carry.
Inventory can managed automatically, updated as soon as new inventory comes in and as soon as orders are registered, when integrated with inventory management solutions like Finale Inventory. Zoey also integrates with all the most popular business applications out of the box and, if you use customized software for your CRM or to communicate with suppliers, Zoey can be integrated easily and securely with an API.
Much of Zoey’s success is due to the people behind its software. They’re always happy to help and are available whenever you need them. To learn how Zoey can help you manage your inventory better, contact us for a personalized walkthrough:
