The festive season is near, and customer demands for electronics have already outstripped supply for consumer electronic items. It has become a grave issue for retailers and other industry executives. Demand for the best-selling models coupled with a set of other imported devices is either short on supply or out of stock.
The supply crunch amplified due to the Navratri sales (October 12-15) led by online marketplaces like Amazon and Flipkart, as well as brick-and-mortar retail stores such as Croma and Reliance Digital.
How to Manage this Demand Hustle?
The festive season is when retailers are flooded with opportunities and need the right technology and approaches to beat this demand crunch. We have compiled a few suggestions to help you manage overwhelming demands.
Predict Demands and Stock up
Demand prediction is the first and the most crucial step for managing demand. Understand market trends and keep yourself stocked up. This is how Amazon and Flipkart could stay ahead in the completion. They already forecasted this surge, and the sellers stocked up with higher inventory much earlier. Hence, leading to a better situation for these marketplaces. Supply Chain Management Software like Microsoft Dynamics 365 empowered with AI-based technology extracts market data and creates logical and actionable reports.
Integrate Online Ordering Channels
Allows customers to reach you the way they want. Whether it is an application, website, or third-party platform, they can reach out to you through any medium. Having all the channels integrated within a unified platform saves retailers from multiple integration complications. This way the buyer gets enough flexibility to choose what they are most comfortable with. Apart from this, retailers can also check on their customer’s activities, for example, they can check out how many customers landed on their website and for how long. calculating their level of interest, the retailer can set a targeted customer base accordingly.
Manage Warehouse Efficiently
When demands get unpredictable, efficient warehouse space management becomes a must. Plan proper stock positioning and allocation for maximum floor space optimization. Many warehouses ignore the importance of proper racking and stacking. Hence, they end up wasting a lot more space than usual. Adopt proper spacing methods such as extending your racks up vertically, reducing aisle width and racking area, adding half-pallet storage location, and so on.
Electronics tend to get outdated pretty quickly, hence discard the obsolete and damaged appliances. Regulate warehouse temperature and keep tabs on the inventory yet to arrive.
Make Sure You are Not Short on Inventory
After forecasting demand, retailers should ensure they have the right number of stocks available complimenting consumer demands. Track electronics batch and classify inventory with similar traits in batches. For example, keep all the iPhone versions in a single batch and Samsung phones in another. This is called batch tracking, which makes inventory management a lot easier. You can also use a technology that keeps tabs on current inventory and required inventory. Not only does it save your efforts but also streamlines inventory management.
Bust Queues with Mobile POS System
A team equipped with mobile POS assists customers way better. It accelerates customer experience while tracking the right electronic item in the store. It even streamlines the payment process; customers can pay faster and even help themselves if other staff members are busy with others. Consumers do not have to wait in long queues. Apart from consumers, it also manages suppliers and ensures complete security. A mobile POS is more than just billing software. Mobile POS is different from a fixed POS system. It is easy to carry and more convenient for both consumers and the seller.
Ensure Timely Delivery
When demands are rushing, and so is the time, accelerate the delivery process. Retailers have to be extra careful during the festive crunch. The profit rates are high, and so is the competition, which makes customers demand faster delivery. Track vehicles and the shortest route possible while ensuring the product reaches its destination unharmed. Also, it is advisable to allow a seamless returning process if the customer is not satisfied with the product. This leads to a sense of security among the customers. Many marketplaces like Amazon and Flipkart follow the same policy. They allow customers to return a product if they feel like it.
The festive season brings joy, business, and stress for retailers altogether. With overwhelming demands and shortage of supply complimenting the urge for quality needs a solid supply chain management. Demand forecasting, omnichannel, warehouse management, and prompt delivery are the aspects. A unified supply chain management service provider like Trident Information Systems. It has been a Microsoft Gold Partner since 2003 and has dealt with such demand scrunches gracefully. For further information or a demonstration, contact us.