There’s an art to transforming dinner party leftovers and free curbside furniture into something new. Reusing and recycling are great practices in business too. (I love an operational practice that improves overtime, especially one that emerged from a failed attempt.)
But, please — for the love of ROI — do not store your end-of-season leftovers to sell at full price next year and do not recycle component parts of your finished goods. There’s all kinds of hidden costs to both plus they delay your problem-solving, which should happen much earlier in the season.
But, please — for the love of ROI — do not store your end-of-season leftovers to sell at full price next year and do not recycle component parts of your finished goods. There’s all kinds of hidden costs to both plus they delay your problem-solving, which should happen much earlier in the season.
The problem of end-of-season overstock is normal for inventory-based businesses because there’s no accounting for customer taste. The solution? Manage your time.
This weekly Retail Study Guide newsletter includes:
This weekly Retail Study Guide newsletter includes:
🧭 Four Pillars of Merchant Method: Operations that grow profit
📚 Merchant Skills: That stale merchandise needs attention
✏️ Your Assignment: Transform tasks into habits
📌 Bulletin Board: Slow down the speed of retail
🧭 FOUR PILLARS OF MERCHANT METHOD
Strengthen retail operations to improve gross profit
The retail levers that impact inventory are product, profit, and process.
Strengthen retail operations to improve gross profit
The retail levers that impact inventory are product, profit, and process.
New to the Merchant Method or need a refresher? Get oriented.
📚 MERCHANT SKILLS
Review SKU performance and remerch regularly
When you timeblock your ideal schedule (whether for a week, month, or quarter) create, show up for, and protect two important blocks that will improve your inventory sell-through:
First, review SKU-level reporting regularly. Choose a frequency that makes sense for the number of shoppable days and times, or based on your customer traffic. Only open three days a week for several hours a day, like I was? I reviewed SKU reporting monthly. Open seven days a week from mid-morning to early evening and also have steady site traffic? Review sales weekly.
Merchant Tip: The industry standard is to review business results on Mondays, which tend to be low volume sales days.
Second, in response to your SKU-level sales results, remerchandise your full-price products consistently and throughout the season. This exposes even your most loyal customers to products they haven’t purchased yet.
Seasonal Note: Adjust your ideal schedule based on the number of active SKUs you sell.
Review SKU performance and remerch regularly
When you timeblock your ideal schedule (whether for a week, month, or quarter) create, show up for, and protect two important blocks that will improve your inventory sell-through:
First, review SKU-level reporting regularly. Choose a frequency that makes sense for the number of shoppable days and times, or based on your customer traffic. Only open three days a week for several hours a day, like I was? I reviewed SKU reporting monthly. Open seven days a week from mid-morning to early evening and also have steady site traffic? Review sales weekly.
Merchant Tip: The industry standard is to review business results on Mondays, which tend to be low volume sales days.
Second, in response to your SKU-level sales results, remerchandise your full-price products consistently and throughout the season. This exposes even your most loyal customers to products they haven’t purchased yet.
Seasonal Note: Adjust your ideal schedule based on the number of active SKUs you sell.
✏️ YOUR ASSIGNMENT
Make stock control a regular task
When you calendarize timeblocks for reviewing business and remerchandising, you should also make note of annual shifts in holidays or significant regional events because you might need extra time to plan around any resulting business impacts. Before you close your calendar, resolve any time of resource conflicts now to avoid problems later.
📌 BULLETIN BOARD
Find more ways to minimize overstock
New to the fiscal retail calendar or need a refresher? Study this.
Read about How to Maximize Retail Profit by Mastering Dead Stock Management written by Katherine Raz for Aeolida
Find more ways to minimize overstock
New to the fiscal retail calendar or need a refresher? Study this.
Read about How to Maximize Retail Profit by Mastering Dead Stock Management written by Katherine Raz for Aeolida
