With the globalization of the economic world, the retail market is like a big ocean. In which you can find hundreds and thousands of options for a single product. If you want to purchase small chocolate then you may find more than a hundred options on any store on the basis of size, flavor, etc. Being a businessman it is not easy at all to select the right combination of products to be presented in front of customers which can ensure optimum sales numbers.
Usually, all the retailers have a big confusion regarding the selection of products for the inventory, if you are also, going through such situation then you can take advantage of assortment planning. It is a very advanced approach that enables you to decide which items should be selected and which item should be discarded to get the perfect balance of brand, market trends, customer behavior and affordability of course. If any retailer finds the perfect combination of items then the survival becomes very easy in this ever-increasing competitive market. The assortment is not a theoretical approach at all; it is a highly practical approach which is based on market research and study of previous sales data.
When the business exactly knows what products the customer will demand? Then no power in this world can stop that particular business from making optimum profits and the market cap of such businesses expands quickly. This advanced planning tool provides you with the exact information that will help you to choose the right products for your retail platform. It is often noticed that some merchants have thousands of varieties in their inventory still; the customers are unsatisfied and leave that platform without purchasing anything. While there are some other platforms that have limited collections but they select their products prudently due to which maximum numbers of visitors turned into customers without much effort. So we can conclude that the second platform wins the competition just by proper selection.
How to select products for inventory?
Whether you are a small retailer or big giant, this question arises in your mind every day. You can arrange your inventory in such a way that you can fulfill the maximum demands of the customer with minimum investment and it is the primary motive of any business. In such a scenario, retailers consider several aspects like- number of products per order, customers’ response towards a particular brand, etc.
New trends in the market
The market is constantly changing big brands get collapsed in just a few months while a new product captures the market in even lesser time, so you cannot blindly trust the previous data. You need some advanced methodologies like assortment planning to consider all the factors like- the category of the product, weight, market trends, price range etc to get the perfect combination for your inventory.
All the retailers find this blog very informative and it will help them to design their inventory in minimum investment and make maximum profit out of it.