Turn Rate Troubles? How to Stay on Top of Supply AND Demand

Inventory management is a delicate balance in any store, but optimized turn rate is critical for business success. Spoilage, overstocked items and out-of-stock items can have a significant negative impact on the bottom line.  Success involves strong operational procedures, infrastructure, inventory management software, and strategic vendors that help manage turn rate.

Optimizing Your Store’s Inventory to Manage Turn Rate

The longer an item sits on the shelf, the more it’s costing you. Proper inventory management ensures that every item is contributing to the bottom line. Managers must stay on top of item-level data to keep tabs on the products selling quickly, with the risk of running out of stock and products that sell slowly, causing overstock.

Sometimes overstocks are easier to deal with because you can move slow sellers to another location or clear them out with discounts and promotions. Fast sellers can be a bit trickier. One run on a product can wipe you out, and it can take days for your supplier to deliver more. Keeping tabs on fast-moving items is equally important, because an out-of-stock item can cost you just as much as an overstock over the long term.

Building a Profitable Inventory Management Program

Inventory management systems and strong employee training are crucial for maintaining optimal turn rate, but it’s not enough to know that something is or isn’t selling. You’ve also got to time shipments, rotations and restocks at the right time to ensure both freshness and profitability.  The more data you collect on the behaviors of your shoppers, the products they want to purchase, and when they are most likely to buy, you can predict future behavior and manage your stocked items.

The best software in the world isn’t worth much if you can’t get your hands on the products you need, precisely when you need them. This is where vendor choice comes into play. Partners who respond quickly to your needs – or better yet, can anticipate your needs –  make the real difference when it comes to turn rate. If you must wait a week to replenish items that are understocked, your bottom line will take the hit.

At Mister Snacks, we understand the delicate balance that store owners must manage to maintain optimal turn rate. We work with grocery stores, C-stores and specialty shops to ensure that shelves are stocked with high-margin, fast-selling snack foods  that speak to the needs of each location’s unique customer base. We work closely with you to help you manage turn rate, keep fresh items on the shelves, and keep you from dealing with the headaches of over and under-stocking.

To learn more about the ways Mister Snacks can help you maintain your bottom line, contact our team today.