We’ve talked about improving profitability and sales through increased upsells, attachment rates, and accessories. The truth is, this is one critical way to address your wireless retail store’s growth. Another important focus point is improving profitability through operational excellence, reduced loss or theft, and streamlined inventory management.
At BeyondBlu, we’ve worked with countless wireless retailers on solving issues just like this and we’ve rounded up a few of our best tips to help you improve your profit margins and reduce operational burdens.
Reduce Inventory Over-Spending
Many of our clients over the years have fallen into the trap of being prepared for the unknown and costing themselves thousands in the process. To reduce your risk of over spending on inventory, it’s important to maintain a clear picture of the market, your local competition, and typical traffic or sales. Working with a vendor in a strategic partner relationship will allow your accessories vendors to help you prepare for busy seasons or slow months in a way that aligns with these numbers. If you do happen to over order AND have a strategic relationship with your vendor, they can often set up return agreements or strategic stocking agreements that will allow you to get credits for unsold material
Moreover, innovative products like RapidCut allow your wireless retail location to minimize the amount of inventory you have on hand at any given moment. All your “case inventory” is simply sheets of material ready to be turned into any case in the system and never has to be returned – even when corporate tells you to prepare for a new device launch.
Track Accessories and Products Vigilantly
Tracking every sale, product, and rep through a CRM or point of sale system is crucial to tracking sales, performance, and operational excellence. The investment made in technology not only helps your company to improve performance internally, but can help vendors and suppliers better predict what your orders should be based on previous data.
Furthermore, by tracking all items effectively, you can understand where your biggest opportunities for growth and process optimization are. We’ve seen some clients underestimate how well their teams were doing while other clients have underestimated how poorly a team is performing. Neither option works well for knowing how to improve your business or maximize profits.
Create New Ways to Reduce Theft or Loss
Some of our clients have achieved more than 10-15% reduction in loss and theft of tangible products such as phone cases. This major drain on profitability can be plugged by addressing a few critical areas: systems training to teach reps how to track and report every sale properly, inventory management and reviews to ensure theft is stopped quickly, and optimizing product options to reduce the tangible products in store that can be broken, lost, or stolen.
Make Training a Priority
Training your team is critical to preventing loss. In most cases, training your sales reps will focus on selling product, knowing the message, and knowing how to serve the customer at the highest level. Incorporate more tactical items into training as well such as reminders on placing orders, applying discounts, tracking accessory sales, and other operational tasks.
Not only will your sales reps greatly appreciate the support and the training, you will be helping reps to ensure transparency throughout the sales process and reducing the amount of loss or theft that occurs within your retail locations.