Liquor stores generally fall in the retail category. However, liquor stores have some unique challenges that are typically not that common in other retail sectors. Most of the issues below can be addressed with a solid POS solution for liquor stores.
Keeping track of thousands of different products with different flavors and bottle sizes is a hard task. Not many other retail business types have to deal with such a large product assortment. Therefore, most general retail point of sale systems are not really equipped for the task. Unfortunately, too many liquor store owners have just accepted the fact that proper inventory tracking is simply too complicated and expensive. However, here are a few simple tricks how to get better control over your inventory:
- Utilize assortment management
If you have the ability to assign your products to assortments you can separate seasonal items from general items. All of the sudden your product catalog will appear much smaller when you have the ability to easily filter out items that are no longer relevant.
- Always update incorrect numbers
As soon as you notice incorrect numbers, such as negative inventory numbers or items with on-hand counts that are no longer selling. Make sure to correct the inventory count and investigate the reason for the differences. By the way, KORONA has an automation feature for this.
- Perpetual counting
Instead of doing complete store counts consider continuous counts with smaller count lists. Inventory counting will become part of the routine instead of a major headache once a year. Once again, KORONA prepare short count lists for you that are easy to manage on a daily or weekly basis.
Employee theft is a concern for many retail businesses. However, liquor stores are especially impacted. Unfortunately, many managers and owners are not fully aware of this issue. This is mainly due to a lack of reliable inventory tracking. If you don’t know what you are supposed to have, you also have no way of knowing when something goes missing. Besides employees taking inventory, it is very common for employees to sell inventory and then simply remove the items from the transaction if the customer pays cash. We recommend taking the following security procedures:
- Don’t allow cashiers to freely remove any item from a transaction.
- Don’t allow cashiers to operate the POS while cash drawer is opened.
- Perform cash balances per cashier.
With large product catalogs it can get pretty difficult to determine which items are actually making your business profitable and which ones are simply taking shelf space. In order to figure out which items you should promote and which ones you should kick out of your inventory we recommend the following best practices:
- Compare profits instead of just quantities or revenue.
- Evaluate complementary products and adjust prices accordingly.
- Compare sell-through rates and inventory turns to prevent overstocking.
If you would like to find out more about how KORONA can help you solve these issues give us a call: (833) 200-0213
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