The holiday season is upon us. Have you checked your inventory levels? Demand is likely at an all-time high this time of year, and the last thing you want is a stockout. Not only will you lose sales, you’ll be putting your Buy Box ownership, SEO rank and account status in jeopardy.
So if you see that your stock levels are getting low, follow these five tricks to stay in stock this season — and all year round:
1. Place A Resupply Order
If you haven’t already, order more inventory. And make sure to find out how long it will take to process and ship, in case you need to put a rush on it.
2. Raise Your Prices
Yes, you read that right. Raising your prices will decrease demand and safeguard you from running out of stock. Another way to slow your sales is to pause any sponsored product campaigns you may be running. Either way, these are temporary measures that you’ll be able to reverse when your resupply order comes in.
3. Buy Safety Stock
Safety stock is exactly how it sounds: stock that safeguards you from a stockout. It’s a certain amount of inventory that you dip into only when you need it — in other words, when your inventory levels have hit zero and you’re waiting for a new order to come in. If you use your safety stock at any point, make sure to replenish it so it’s always there in case of stockout emergencies.
4. Communicate with Your Suppliers
At the end of the day, you want to be on the same page as your suppliers, which can only happen through regular communication. If they are aware of your sales volumes, cycles and velocity, they can be better prepared to process your orders. At the same time, knowing how long their production cycles are and when they’re most busy will help prevent delays and surprises. Not only that, your chances of stocking out will drastically decrease.
5. Maximize Cash Flow
It’s nearly impossible to avoid a stockout without cash. After all, how will you buy more inventory or pay any applicable rush fees if you don’t have the necessary funds? To compensate (literally) for Amazon’s two-week payment delay, consider a service like Payability, a financing company for marketplace sellers.
Payability offers three solutions to give you daily access to your income:
- Instant Advance: Payability buys a certain amount of your future receivables at a discount, giving you a large lump sum of cash that you can access daily to cover inventory orders, invest in growth opportunities, etc.
- Instant Access: Payability pays you your Amazon income one business day after making a sale so you can turn inventory more quickly and decrease your chances of a stockout.
- Seller Card for Instant Access Customers: Access your income even faster with the seller card, which can be used on weekends and holidays, is accepted anywhere that takes Visa, and comes with rewards like 2% cash back.
Since 2016, Payability has helped more than 2,500 marketplace sellers stay in stock and grow their businesses. In fact, sellers who use Payability grow their businesses 2.5x faster than their competitors. Hear from Gina Goldring who saw a 50% increase in sales after her first Instant Advance, then visit http://go.payability.com/teikametrics to see how you can take your business to the next level. You’ll receive a $250 sign on bonus and discounted fees just for being referred by Teikametrics.
This is a guest blog authored by Victoria Sullivan, Marketing Manager at Payability. She has over eight years of social media, copywriting and marketing experience. Prior to joining the Payability team, Victoria developed social media content and strategies for top technology brands such as Skype and Samsung. She holds a degree in Advertising from Syracuse University’s S.I. Newhouse School of Public Communications. She can often be found in a yoga class or working on her fashion blog.