Controlling your inventory can be difficult when you are an online jewelry retailer. There is a fine line between having just enough inventory to last and not having enough to fill orders, so it is imperative you have an inventory management strategy that works. Fortunately, a point-of-service (POS) system can help you keep track of your inventory and stay aware of any important changes that arise.
Using a POS is an efficient and relatively simple way to keep up with the state of your jewelry supply. Here are five ways a POS system can help you manage your inventory.
1. Keep the Right Number of Products on Hand
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Almost every business owner wants to have a successful business. One of the ways you can increase your chances of success is to push and promote your top-selling items by ensuring they have an adequate amount of floor space. This will make sure you don’t run out of or stock items you don’t really need.
A POS system can help you take your jewelry management strategy to the next level by providing you with information about what is selling and what is not. An efficient and effective POS should be able to tell you if you are overstocking or understocking a particular item based on your present sales trends. Most systems can even generate detailed reports quickly so you can easily make the right ordering decisions.
2. Reduce Shrinkage
Inventory loss due to poor tracking, theft, or damage is referred to as shrinkage, which can be difficult to get a handle on. Issues such as errors caused by vendors or administrative issues, as well as internal theft, are relatively common. Fortunately, the right POS system can help you prevent shrinkage before it occurs. Many online businesses, especially smaller ones, don’t have a proper inventory control strategy, so there is no way for them to know if items are missing. Using a POS can help prevent this problem. A POS can also reduce the probability of human errors since it can track your purchase orders and stock in real time.
3. Generate Data Using Your Sales History
Knowing what sells and what doesn’t is integral to any online retailer’s success. Many retailers rely on their own data or intuition to know which products move quickly, but contrary to popular belief, there is a better and more efficient way. Using real data from your POS system can give you far more accurate results and help you know which products need more promotion. POS systems use the data from your sales history to generate reports, and you can use these reports to decide which products need premium floor space and which ones should be placed on clearance. Always choose a POS system capable of extensively analyzing your sales history.
4. Ensure Accuracy
Before POS systems became the norm, business owners were tasked with tracking their inventory manually. They used written records, which often were not accurate and difficult to keep up. They walked through the store or warehouse counting and writing down every single item.
In today’s time, when you obtain the items you ordered, you can double-check that the amount listed on the purchase order matches up with the received number and the amount on your POS reports. This will ensure your inventory counts remain accurate and up to date, saving you a significant amount of time and effort.
5. Centralize Inventory Information
Do you store inventory at multiple warehouses or locations? If you are like many online jewelry retailers, you may need to store jewelry in more than one place. Having inventory spread across various locations can make keeping up with your supply difficult and time-consuming if you don’t have the right tools. Fortunately, most POS systems can help you keep up with your inventory, regardless of where it is stored.
Most POS systems do not require you to be on-site when taking inventory. It can centralize inventory information from multiple locations in one place and allow you to develop a comprehensive understanding of what you have in stock.
Using a POS system to keep track of your jewelry inventory is a great way to save time and ensure you can provide your customers with what they need. When choosing a POS system, be sure to select one that meets your business’s needs and simplifies your employees’ jobs. Learn more about using a POS for inventory management today.