CEO Weekly
No Result
View All Result
  • Business
  • News
    Serena Williams Announces Retirement from Tennis

    Serena Williams Announces Retirement from Tennis

    Safer Lunar Exploration After Discovery of Stable Areas on the Moon

    Safer Lunar Exploration After Discovery of Stable Areas on the Moon

    Biden Administration Takes Out World’s Most Wanted Terrorist in Drone Strike

    Biden Administration Takes Out World’s Most Wanted Terrorist in Drone Strike

    France to Install Drone-Killing System as Olympics 2024 Draws Near

    France to Install Drone-Killing System as Olympics 2024 Draws Near

    Heavy Downpours in Kentucky Led to Flooding, Damaged Properties, Death Toll Rise

    Heavy Downpours in Kentucky Led to Flooding, Damaged Properties, Death Toll Rise

  • Politics
    Pelosi Visits Taiwan to Strengthen Ties, China Retaliates

    Pelosi Visits Taiwan to Strengthen Ties, China Retaliates

    Biden Announced Government Will Pour Billions to Wastewater Rehabilitation in Rural Areas

    Biden Announced Government Will Pour Billions to Wastewater Rehabilitation in Rural Areas

    Prime Minister of Italy Mario Draghi Resigns, President Dissolves Parliamentary

    Prime Minister of Italy Mario Draghi Resigns, President Dissolves Parliamentary

    A woman lights a candle during the Wednesday vigil. Photo: Anthony Vazquez

    Chilling Reports Reveal a Second Attack was Planned After Highland Park Shooting

    Fed Governor willing to increase rates above ‘neutral’ level to curb inflation

    Fed Governor willing to increase rates above ‘neutral’ level to curb inflation

  • Leadership
    Krishna Skandakumar of Microfinance Charity Nandri says Indian Women Need Our Help

    Krishna Skandakumar of Microfinance Charity Nandri says Indian Women Need Our Help

    After Pelosi’s Visit, China Continues to Threaten to Taiwan, But Taiwan said they are ‘not scared’

    After Pelosi’s Visit, China Continues to Threaten to Taiwan, But Taiwan said they are ‘not scared’

    Kansas Will Ask Voters if They Agree to Retain State Legislation on Abortion

    Kansas Will Ask Voters if They Agree to Retain State Legislation on Abortion

    President Joe Biden is Positive for Covid and is Experiencing Very Mild Symptoms

    President Joe Biden is Positive for Covid and is Experiencing Very Mild Symptoms

    Poland and South Korea Signs Deal to Replenish Polish Military Arsenal

    Poland and South Korea Signs Deal to Replenish Polish Military Arsenal

  • Entertainment
    Netflix Releases Film Starring Bollywood Megastar Alia Bhatt, Tackles Domestic Violence

    Netflix Releases Film Starring Bollywood Megastar Alia Bhatt, Tackles Domestic Violence

    Legendary band Metallica full of praise for the Netflix show and actor Joseph Quinn

    Metallica Showers Stranger Things and Joseph Quinn with Praises

    She-Hulk: Attorney at Law's trailer received heavy criticism for its CGI, VFX artists speak out about Marvel Studio's overwhelming demands

    VFX Artists Speak Out Against Marvel Studios for Its Demanding Work Schedule

    Taylor Swift delivers speech at the NYU graduation ceremony

    Taylor Swift delivers speech at the NYU graduation ceremony

    Art by Francesco Francavilla

    The Witches of Riverdale May See Hints of the Comic Series Afterlife with Archie

  • Lifestyle
    The Metropolitan Museum of Art exhibits Water Memories to showcase the significance of water among Native Americans

    A Denim Jacket Sits at the Centerpiece for the Metropolitan Museum of Art’s Water Memories Exhibit

    Football star Jude Bellingham shares his experiences with racism

    Football star Jude Bellingham shares his experiences with racism

    At-Home Covid Tests: What is it and How to Use it?

    At-Home Covid Tests: What is it and How to Use it?

    Japan’s Anti-Procrastination Cafe

    Japan’s Anti-Procrastination Cafe Wants to Help Writers Catch Deadlines

    Dr. Gordon Andan Stands Out in the Industry through His Skills and Reputation

    Dr. Gordon Andan Stands Out in the Industry through His Skills and Reputation

  • Contact Us
No Result
View All Result
CEO Weekly
No Result
View All Result
  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle
  • Contact Us
SUBSCRIBE
  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle
  • Contact Us
SUBSCRIBE
Menu
  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle
  • Contact Us
CEO Weekly
SUBSCRIBE
Search
Close
Home Business

Allocating for Store Inventory 

Chloe Jackson by Chloe Jackson
July 28, 2022
in Business
Allocating for Store Inventory 
Share on Facebook

Americans may have largely moved on from COVID-19, but the supply chain issues wrought by the pandemic are taking longer to fix. The surge in e-commerce sales that took place in 2020, followed by last winter’s sudden slowdown, have confounded even sophisticated retailers including Amazon, Wal-Mart and Target; the latter two of which have ended up holding far too much inventory as consumers shift from spending on goods to services. 

Excess inventory can frustrate retailers because it often leads to expensive markdowns; but they also don’t want to lose out on sales because the goods aren’t there. Manufacturers like Nike are now building up inventories out of necessity, in case the Asian countries in which they manufacture their products shut down again. Meanwhile, there has been a pronounced shift away from e-commerce back to in-person shopping, making inventory management even more complicated.

While it’s true that clogged supply chains have increased lead times, and thus compounded the difficulties in properly managing inventories, less attention has been paid to areas where retailers have a lot more control. After all, the farther ahead a retailer has to predict their inventory allocation or management, the less accurate that prediction is likely to be. And while record inflation has tamped demand for even the basics lately, if customers find what they want when they want it, they are nevertheless more likely to make a purchase.

Past is Prologue

“Sellers can begin to understand future buying patterns by eliciting feedback on their  customers’ past buying experiences,” says Anil Varghese, CEO of retail consultancy Proxima 360. Proxima360 offers a module that provides accurate inventory allocation for retailers, helping their operations to run more efficiently. As Varghese explains, his software helps ensure that storerooms always have the right amount of stock available to complete sales and cut labor costs by alerting retailers exactly when and where employees will be needed in order to manage inventory effectively.

The post-sale experience is too often overlooked by retailers, he says, but it offers important clues to determine future sales, and therefore, appropriate inventory levels. Varghese recommends that clients send a survey after every purchase, which will offer retailers clues as to purchase patterns. Moreover, this will grant retailers and their businesses the benefit of engaging with customers who will subsequently feel that their feedback is important. 

Mapping

Mapping behavior is another useful tool in determining future inventory allocation and management. Here, Varghese recommends creating a customer persona based upon customer behavior. “This will help the company create and market the right product at the right time and place,” he says.

User interfaces, such as websites, must be able to recognize two fundamental prospects: one, the customer that already wants to buy a specific item; and two, the customer who is website hopping (or window shopping). “If a customer is interacting across your website for more than five minutes, we know that they found something interesting. If they don’t, then the site or shop did not have anything interesting for them,” Varghese observes. In order to stock the correct amount of inventory, it is essential to map out the types of visitors to the store and/or website. For instance, how many are buyers and how many are just window/website shopping?

Without first knowing where these customers are along their journey, Varghese points out that it is next to impossible to project demand, and therefore allocate inventory efficiently. “Companies that don’t create the right map will end up lost,” he says, “and, as a result, they will ultimately lose their customers, as well.”

Product Matching

Product matching can also help retailers reduce overhead costs. The matching process involves matching the same products from a variety of inbound sources through learning technologies, such as ML and AI, that mimic purchasing behavior. “Content matching increases warehouse and store efficiency by enhancing cross-docking and receiving operations,” Varghese says. “This allows for reduced redundancy and automates related workflows.”

Wherever the customer and whatever the technology, efficient inventory allocation comes down to understanding what the customer is looking for and when they are looking to buy. With inflation raging and the cost of human capital rising, inventory management is one area where retailers still have control, but the stakes could not be higher. 
“Many businesses don’t have much to spare in regards to extra inventory costs,” Varghese says. “Our software offers all-encompassing solutions that will help them recover.”

Tags: e-commerce salesProxima 360Store Inventory

Opinions expressed by CEO Weekly contributors are their own.
Previous Post

Will A Crypto Crash Affect The Poker Industry?

Next Post

Investors Push by Tyrome Young Paves the Way for Aspiring Business Pioneers

Chloe Jackson

Chloe Jackson

Chloe is a data analyst who loves to write. Outside of her job, she is outgoing and loves going on adventures.

Next Post
Investors Push by Tyrome Young Paves the Way for Aspiring Business Pioneers

Investors Push by Tyrome Young Paves the Way for Aspiring Business Pioneers

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recent News

An enterprising CEO’s advice to up-and-coming entrepreneurs

An enterprising CEO’s advice to up-and-coming entrepreneurs

August 12, 2022
Avoid the Dreaded Sales Slump! Sales Expert Patrick Galang Shares How

Avoid the Dreaded Sales Slump! Sales Expert Patrick Galang Shares How

August 12, 2022
Netflix Releases Film Starring Bollywood Megastar Alia Bhatt, Tackles Domestic Violence

Netflix Releases Film Starring Bollywood Megastar Alia Bhatt, Tackles Domestic Violence

August 11, 2022
Strategic Executive Development – why CEOs need to make it a top 2022 priority

Strategic Executive Development – why CEOs need to make it a top 2022 priority

August 11, 2022
Moderna CEO says Company Will Design Amped Up Vaccines, Investments Will be Made Outside US

Moderna CEO says Company Will Design Amped Up Vaccines, Investments Will be Made Outside US

August 11, 2022
Bad Astro Society NFT

Bad Astro Society NFT: An Access Pass into a Fun-loving, Highly Ambitious Community

August 11, 2022
Jason Miller’s Strategic Advisor Board Delivering Growth Results to Entrepreneurs and Businesses

Jason Miller’s Strategic Advisor Board Delivering Growth Results to Entrepreneurs and Businesses

August 11, 2022
The Next Generation of Female Leaders is Encouraged by Dr. Markey W. Pierre

The Next Generation of Female Leaders is Encouraged by Dr. Markey W. Pierre

August 10, 2022
Shawn Fair Shares His Stage with Dr. Tsitsi Hungwe

Shawn Fair Shares His Stage with Dr. Tsitsi Hungwe

August 10, 2022
Krishna Skandakumar of Microfinance Charity Nandri says Indian Women Need Our Help

Krishna Skandakumar of Microfinance Charity Nandri says Indian Women Need Our Help

August 10, 2022
Entrepreneur  Dan Lee on Spicing Up the Real Estate Scene With His Standout Marketing Videos

Entrepreneur  Dan Lee on Spicing Up the Real Estate Scene With His Standout Marketing Videos

August 10, 2022

Americans may have largely moved on from COVID-19, but the supply chain issues wrought by the pandemic are taking longer to fix. The surge in e-commerce sales that took place in 2020, followed by last winter’s sudden slowdown, have confounded even sophisticated retailers including Amazon, Wal-Mart and Target; the latter two of which have ended up holding far too much inventory as consumers shift from spending on goods to services. 

Excess inventory can frustrate retailers because it often leads to expensive markdowns; but they also don’t want to lose out on sales because the goods aren’t there. Manufacturers like Nike are now building up inventories out of necessity, in case the Asian countries in which they manufacture their products shut down again. Meanwhile, there has been a pronounced shift away from e-commerce back to in-person shopping, making inventory management even more complicated.

While it’s true that clogged supply chains have increased lead times, and thus compounded the difficulties in properly managing inventories, less attention has been paid to areas where retailers have a lot more control. After all, the farther ahead a retailer has to predict their inventory allocation or management, the less accurate that prediction is likely to be. And while record inflation has tamped demand for even the basics lately, if customers find what they want when they want it, they are nevertheless more likely to make a purchase.

Past is Prologue

“Sellers can begin to understand future buying patterns by eliciting feedback on their  customers’ past buying experiences,” says Anil Varghese, CEO of retail consultancy Proxima 360. Proxima360 offers a module that provides accurate inventory allocation for retailers, helping their operations to run more efficiently. As Varghese explains, his software helps ensure that storerooms always have the right amount of stock available to complete sales and cut labor costs by alerting retailers exactly when and where employees will be needed in order to manage inventory effectively.

The post-sale experience is too often overlooked by retailers, he says, but it offers important clues to determine future sales, and therefore, appropriate inventory levels. Varghese recommends that clients send a survey after every purchase, which will offer retailers clues as to purchase patterns. Moreover, this will grant retailers and their businesses the benefit of engaging with customers who will subsequently feel that their feedback is important. 

Mapping

Mapping behavior is another useful tool in determining future inventory allocation and management. Here, Varghese recommends creating a customer persona based upon customer behavior. “This will help the company create and market the right product at the right time and place,” he says.

User interfaces, such as websites, must be able to recognize two fundamental prospects: one, the customer that already wants to buy a specific item; and two, the customer who is website hopping (or window shopping). “If a customer is interacting across your website for more than five minutes, we know that they found something interesting. If they don’t, then the site or shop did not have anything interesting for them,” Varghese observes. In order to stock the correct amount of inventory, it is essential to map out the types of visitors to the store and/or website. For instance, how many are buyers and how many are just window/website shopping?

Without first knowing where these customers are along their journey, Varghese points out that it is next to impossible to project demand, and therefore allocate inventory efficiently. “Companies that don’t create the right map will end up lost,” he says, “and, as a result, they will ultimately lose their customers, as well.”

Product Matching

Product matching can also help retailers reduce overhead costs. The matching process involves matching the same products from a variety of inbound sources through learning technologies, such as ML and AI, that mimic purchasing behavior. “Content matching increases warehouse and store efficiency by enhancing cross-docking and receiving operations,” Varghese says. “This allows for reduced redundancy and automates related workflows.”

Wherever the customer and whatever the technology, efficient inventory allocation comes down to understanding what the customer is looking for and when they are looking to buy. With inflation raging and the cost of human capital rising, inventory management is one area where retailers still have control, but the stakes could not be higher. 
“Many businesses don’t have much to spare in regards to extra inventory costs,” Varghese says. “Our software offers all-encompassing solutions that will help them recover.”

No Result
View All Result
  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle
  • Contact Us

© 2022 CEO Weekly. All Rights Reserved

CEO Weekly

  • Contact Us
Menu
  • Contact Us

Legal

  • Terms and Conditions
  • Privacy Policy
Menu
  • Terms and Conditions
  • Privacy Policy

Sitemap

  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle
Menu
  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle

Connect with Us

Get our latest stories in the feed of your favorite networks

Stay In The Know

Subscribe for the latest PR advice.

SUBSCRIBE TODAY

CEO Weekly​ is part of a News Anchored Network Publication.
© 2022 CEO Weekly​. All Rights Reserved

  • Artist Weekly
  • Atlanta Wire
  • California Gazette
  • California Observer
  • CEO Weekly
  • Chicago Journal
  • Coin Week
  • Economic Insider
  • Entertainment Monthly News
  • Entertainment Post
  • Famous Times
  • Influencer Daily
  • LA Wire
  • Market Daily
  • Meta Digest
  • Miami Wire
  • Music Observer
  • NY Weekly
  • NY Wire
  • Portland News
  • San Francisco Post
  • Texas Today
  • US Business News
  • US Insider
  • US Reporter
  • Voyage NY

CEO Weekly

  • Contact Us
Menu
  • Contact Us

Legal

  • Terms and Conditions
  • Privacy Policy
Menu
  • Terms and Conditions
  • Privacy Policy

Sitemap

  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle
Menu
  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle

Connect with Us

Get our latest stories in the feed of your favorite networks

Stay In The Know

Subscribe for the latest PR advice.

SUBSCRIBE TODAY

CEO Weekly​ is part of a News Anchored Network Publication.
© 2022 CEO Weekly​. All Rights Reserved

  • Artist Weekly
  • Atlanta Wire
  • California Gazette
  • California Observer
  • CEO Weekly
  • Chicago Journal
  • Coin Week
  • Economic Insider
  • Entertainment Monthly News
  • Entertainment Post
  • Famous Times
  • Influencer Daily
  • LA Wire
  • Market Daily
  • Meta Digest
  • Miami Wire
  • Music Observer
  • NY Weekly
  • NY Wire
  • Portland News
  • San Francisco Post
  • Texas Today
  • US Business News
  • US Insider
  • US Reporter
  • Voyage NY

CEO Weekly

  • Contact Us
Menu
  • Contact Us

Legal

  • Terms and Conditions
  • Privacy Policy
Menu
  • Terms and Conditions
  • Privacy Policy

Sitemap

  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle
Menu
  • Business
  • News
  • Politics
  • Leadership
  • Entertainment
  • Lifestyle

Connect with Us

Get our latest stories in the feed of your favorite networks

Stay In The Know

Subscribe for the latest PR advice.

SUBSCRIBE TODAY

CEO Weekly is part of a News Anchored
Network Publication.
© 2022 CEO Weekly. All Rights Reserved

  • Artist Weekly
  • Atlanta Wire
  • California Gazette
  • California Observer
  • CEO Weekly
  • Chicago Journal
  • Coin Week
  • Economic Insider
  • Entertainment Monthly News
  • Entertainment Post
  • Famous Times
  • Influencer Daily
  • LA Wire
  • Market Daily
  • Meta Digest
  • Miami Wire
  • Music Observer
  • NY Weekly
  • NY Wire
  • Portland News
  • San Francisco Post
  • Texas Today
  • US Business News
  • US Insider
  • US Reporter
  • Voyage NY