The holidays are fast approaching and retailers everywhere are getting their stores ready for the big shopping season. One of the most significant things that you can do to maximize holiday profits is to take advantage of demand forecasting software. Here are the top 5 benefits of doing so now before the holiday rush.
Leverage historical data - Top-selling items may have popular seasons. Forecasting software shows you at a glance how much items sold over time, so that you can leverage historical data to stock up for the holidays by utilizing seasonal profiles.
Accommodates zero-stock days - Sales forecasting software does not count zero-stock days when items could not be purchased because they were out of stock. However, inventory forecasting software does. This leads to more accurate forecasting.
Can forecast special events - Event planning is difficult. On the one hand, you do not want to be stuck with boxes of unsold merchandise. On the other hand, you want to maximize sales and you know that requires inventory. Inventory forecasting software can help you gauge how much to order for special events, putting you in that sweet spot.
Highlights most profitable actions so you can repeat them - By using a demand forecasting solution, you can see what types of sales, promotions, or specials have generated the most business. This allows you to model future promotions on your biggest successes, so that you can repeat them going forward. Over time, this increases your ROI.
Now is the time to invest – Software prices have dropped and this type of software is now extremely affordable. If you have been thinking of investing in forecasting software but were holding out because you thought that you could not afford it, think again. Prices are very competitive, which makes this holiday season a great time to add inventory forecasting to your toolbox.