Anyone who has stepped into a store has felt the disappointment of discovering their favorite product has been discontinued. While it is upsetting to the customer there is a logical reason no longer being sold happening behind the scenes. Maybe it is no longer available from the provider or maybe the wholesaler’s cost has risen too much. It could even be that the clientele is changing their inventory and that item no longer fits their store’s brand. Whatever the reason, it is essential to successful sales and inventory management to have items that are actually going to sellin your store. So here are the questions you need to ask yourself before deciding to eliminate a product from your store’s inventory.
How Popular is the Product?
Customers come into your store and tell you how much they love your items every day. But do all your customers love it or are only a few people interested? A dozen customers can be extremely vocal about their support of an item. The problem is verbal reinforcement should be skewing your knowledge about which items are popular and which aren’t. With CobaltConnect, we automatically generate a Best Seller report. Always know which items are flying off your shelves and which are just lingering longer than they should. You’d be surprised about which products are selling differently than what you believe.
When Do You Keep It On Your Shelves?
CobaltConnect’s reporting might reveal that a product’s sales might be small but have an extremely strong fan base. Under these circumstances, you might feel particularly conflicted about whether or not to continue selling the item. To help you decide, the use of the 30/60/90 Report could quickly help you decide whether you should keep a small inventory on hand. This report is generated on the 19th of each month automatically. This will help you save time and resources looking into your sales. If you decided to keep the item in stock, this is a good opportunity to consider raising the price . A small stock on your shelves creates a higher demand, which people will pay for the items they love.
How Do You Break The News To Your Customers?
Each and every action you make for your store, big or small, has a reaction from your customers. When going over your inventory management and are considering discontinuing their favorite product it is important to consider their emotions when determining how you’ll inform them of the change. There are a number of ways to handle the announcement of a product’s discontinuation. Some businesses choose to inform their customers while they are in the store. Others choose to send out personalized messages through text, email, or their social media channels. However, you choose to break the news, make sure that your customers know you care about their opinions. Discontinuing products is actually a great time to engage with your customers. Consider using this as an opportunity to interact with your customers and see what they might like to see on your shelves next.
Do You Have Similar Products?
When a customer’s favorite product is no longer available they are bound to ask “Do you have anything similar?” If the answer is no, they will most likely go elsewhere to find the item that they are looking for. When discontinuing a product be prepared with other options to continue to generate sales. CobaltConnect’s Category Management module is a great tool to use when giving your customers quick answers. Switching shopper’s loyalty to another product the second they ask will not only keep your sales coming but show your customers you know how to care for them.
A business discontinues a product every day, but it is never a decision to be made on a whim. Before taking steps to take an item off your shelves be sure to ask yourself these four questions. They could help you decide if discontinuing the product is the right move or worth giving it another chance. To learn more about the CobaltConnect features that can help you manage your business, schedule a demo. Our representatives will be more than happy to show you all our system has to offer and how it can help you manage your liquor store better than ever.