If you are a distributor of goods, whether its swag items, apparel, printed products, office accessories, etc., you probably know what the title of this blog means. You are a provider of things; whether it’s at a moment’s notice or like clockwork- every three months a customer orders from you.
The next step in building your business could be inventory control. You purchase a mass amount of product you know your clients will order and sit on it until they do. You basically become a “pick and pack organization,” controlling your inventory and reaping the benefits of purchasing large quantities and selling smaller quantities at a higher price.
How is this beneficial to your business?
Don’t let the idea of making a real estate investment scare you away from this great opportunity. Once you have a routine of turning inventory, your investment in the actual space to house these items and the flow of smaller higher priced sales will be worth every penny you initially put forward. Once you’ve taken that next step, watch your company move in leaps and bound above the competition.
How is this beneficial to your clients?
The ability to warehouse inventory for your customers has great selling points. You will reduce the cost of said items, provide a disaster recovery system (which happens more than you think) and produce convenient time management solutions. The option of a company store can also be introduced and work in tandem with this ‘Just in Time’ business model. Industries like financial institutions, health care and education are constantly ordering and re-ordering the same product. The one-two punch of warehousing and online stores is the perfect selling-point to these high volume companies.
What you need to focus on:
You will need a trustworthy staff to handle the responsibilities involved with holding inventory. Place a point person that will constantly track the movement of goods in and out of the building. If you are involved with online company stores, be sure to keep the management of that system close at hand. Make sure to have a consistent setup of procedure for both of these systems and stick to it. Constant communication with your client and the warehouse is essential as well. Be sure to confirm orders, delivery and confirmation of receipt.
We always have to move forward in business. We must push the boundary of what our business is doing now to ultimately grow in the future. Taking the next step into warehousing inventory on a mass scale could be the game changer for your company. If you have the patience, fortitude, support team and organization skills, this larger-scale selling system could be your next key to success.