Leverage sales velocity reordering to make smarter data-driven business decisions
With every passing month, the numbers of sales transactions continue to grow for each Finale customer. We have unlocked this valuable data by providing insightful sales velocity data to allow you to quickly learn how well a product is selling and to leverage sales velocity reordering to make smarter data-driven business decisions.
Some products have a higher sales velocity than others, and some have a higher velocity at certain times of the year. For instance, Halloween costumes have a higher sales velocity October, whereas these same products aren’t likely to move much (if at all) during the other eleven months
Being able to access historical inventory levels and analyze what products tend to stay on the virtual shelves longest provides valuable insights that help you make sales velocity reordering that will grow your business.
In addition to product sales velocity, we have all added a “Days Until Stockout” metric to allow you to quickly provide you insight to how many days before you run out of stock.
These metrics can be turned on and made visible on the “View Stock Screen” by clicking on the ‘Customize this screen’ link located at the Application Settings drop-down menu.
Additionally, the sale velocity time frame can be configured. The default is set to 30 days and can be changed at Application Settings >> Products.
With the product sales velocity data, customers can go beyond the static min/max reordering method and set-up sophisticated dynamic reordering points to make smart purchasing decisions.
Purchasing is one of the most critical and challenging tasks in any retail organization. You want to make customers happy by stocking the products that match their demand while meeting your company’s financial targets.
If you over-purchase, then you’ll have inventory taking up real estate in your warehouse and tying precious dollars that could be have reinvested elsewhere. If you purchase too little, then you’ll miss sales opportunities by stocking out and frustrating customers in the process
Leveraging the sales velocity of a product, Finale will automatically calculate dynamic reorder points based on your inputs – supplier lead time, desired safety stock, and expected sales growth — to make smarter, faster purchasing decisions.
Check out our customer, Manscaped, is leveraging the sale order velocity in their daily business operations.
More information to set-up automated dynamic reordering based on sales velocity can be found here.
General information to set-up reordering can be found here.
Please contact us if you need to assistance setting this up on your account. We are happy to help.