How to Manage And Organize Your Online Store Inventory

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Whether you started selling products online or have been running your business for a long time, there are many aspects to your eCommerce business that need to be managed. Online Store Inventory management is a task that needs to be done regularly. Over time, you will find that the task of handling your inventory requires more and more of your time. 

If you find yourself spending more time managing your inventory, you can take some simple steps to make the task less stressful and more manageable. 

This post will provide some tips on keeping your stock organized and maintaining a more productive operation.

What is inventory management?

Inventory management is the process of tracking, organizing, and analyzing the inventory to make sure that all products in the store are sold. It is a process in which organizations identify the inventory level in stock, determine the need for additional purchases, and forecast demand to ensure that there are enough goods on hand to meet customer needs. 

How to Manage And Organize Your Online Store Inventory_

For retailers, inventory management includes forecasting future demand for their products based on prior sales rates and patterns. 

Importance of being well-organized

Entrepreneurs and businesses often feel they do not have the time or resources to keep their inventory organized. It is important to note that this is no minor issue as missed opportunities can result in lost revenue. 

Keeping your online store inventory well organized is essential for many reasons: it can help you increase your earnings, maintain customer trust and ensure maximum profitability. It is vital to keep your online store inventory well organized because: 

  • It will be easier for you to find products and update them, which will help with customer service.
  • Your customers will enjoy a more streamlined shopping experience.
  • It helps boost the conversion rate by making it easier for customers to find what they are looking for.
  • You can prevent duplicate and inaccurate orders, saving you time and money.

In other words, by maintaining an organized inventory, your entire operation will run more smoothly. Whatever your shop's size, it can be intimidating to know where to start this seemingly impossible task. So what can you do to get started? 

Audit your inventory regularly

Inventory audits are a critical task for a company. They help a company know the state of their inventory and the number of products they have on hand. This is useful because it can help them find out if they have enough products to meet customer needs or not. You can also use an audit for planning purposes, such as reordering products before they run out.

Regular audits ensure that you have a clear understanding of your inventory at all times. An audit will help an organization know what they have, where it is located, and if there are any discrepancies when compared to past inventories. 

This allows you to quickly find lost items, keep track of what you have on hand, avoid running out of items when ordering more, and cut down on costs from expired or damaged goods. All while providing a better service for their customers by ensuring you have the stock they want to purchase. 

Organize and classify your images efficiently

Images are arguably one of the most important aspects of a successful eCommerce business. They help to engage potential customers, show off products and help sell them.

Organize and classify your images efficiently

However, because you will likely have thousands of images of your stock, it pays to keep your photos organized. Investing in a program that allows you to perform multiple operations within the same program is the most effective way to achieve this. 

In practice, this means using a cloud-based program that enables you to access your content anytime and includes most of the functions applicable to e-commerce. For example, a typical image management workflow involves: 

  • Taking the photos
  • Uploading the images to the cloud
  • Editing
  • Categorizing them 
  • Uploading them to your website

Although it doesn't look like many steps, it is a lengthy process and involves a considerable amount of time that you could otherwise use elsewhere. Fortunately, photo management solutions exist that can make your life much easier. 

Utilize software to keep track of items

Inventory management software is a system that helps store the items that are being bought, sold, or produced in a company. These systems are typically used to organize the inventory by date of arrival, date of sale, or production order. They are also used to manage the stock by using tools such as barcode scanners and RFID readers (more on that later) to keep track of inventory levels in real-time. 

Inventory management software allows your company to monitor the real-time inventory levels in warehouses and stores, access reporting on stock levels, and plan future inventory based on these numbers. 

This type of software is highly advanced and has been helping all sorts of online businesses for decades. It essentially allows organizations to have better visibility into their data, process orders faster, and have accurate information about inventory levels at all times.

Group Items similar to each other

If you run a larger store, you will likely have numerous items that fall within the same category. If so, you could discover that by grouping these products together in one area and tagging them with a relevant search term, you will cut down the amount of time it takes to find a specific item. 

For example, if you sell cigars, you could group them based on their country of origin, size, customer reviews, and so forth. How you group things will depend on what you sell and how they relate to each other, but the fact remains that it can be a huge time-saver. 

Make use of barcodes

Barcodes can help to streamline the inventory management process by eliminating the need to record every single item. It provides a quick and easy way for you to track inventory, as it is no longer necessary to count every item before placing it on shelves. 

Make use of barcodes

With barcodes, you can tell at a glance the identity of an object, where it came from, how much it should cost to purchase, and its shelf life (if relevant). The beauty of it is that you can combine real-world actions (scanning a barcode) with digital elements (real-time updates). 

Utilize your data to decide what to reorder

Data is essential to managing inventory levels, and most businesses can use data to adjust their inventory levels to meet their goals. Some companies have goals of reducing the total inventory on hand, while some want to increase the size of their inventory or want to know what they need to reorder. 

Utilize your data to decide what to reorder

These goals come from analyzing how well your company is meeting customer needs. It provides information on where products are stored, how they are transported, and their final destination. Data can also tell you what sells well at various times of the year or indicate if your distribution center is too small or too large for its current workload. 

Up your storage game

Inventory management is a systematized process of maintaining records of all goods in stock with an organization, and the way you store your items is a large part of it. When organizing your inventory for storage or transport, you should always consider how you will store it and what components are necessary for correct storage. 

If you need to keep your inventory in a warehouse, there should be appropriate racks and shelving units. If the items are too heavy, specialty racks and shelving units should be used to ensure they can't fall over and cause accidents or damage. 

When transporting the product, whether by air or by land, you need to make sure that the containers are appropriately sized and strong enough to handle all of the weight without risking damage to your goods.

It is crucial to understand that inventory management goes beyond counting your stock and ensuring everything is there; it also requires quality storage. No matter how big your operation is, you should always store and pack everything correctly, so you know where things are. 

Invest in a sales platform with robust inventory management capabilities

Content management systems (CMS) offer many benefits for e-commerce businesses. They allow you to manage and publish content on the website without writing code or using expensive developers. E-commerce businesses can rely on this software to build and maintain their websites, blogs, and social media profiles. 

While plenty of CMSs provide inventory management features, you must do some research to determine which one is right for your business

Some of the most essential elements that a CMS should have are built-in customer relationship management, integration with social media and email marketing services, and an intuitive, responsive dashboard. 

When choosing a CMS for your online store, it is essential to keep in mind what you need from the software and what features your business needs. 

Final words: how to manage and organize your online store inventory

With these tips, you should be able to maintain an accurate inventory. Inventory management is an essential part of running an online store, but it can seem daunting to organize if you have many items. 

However, you can utilize numerous technological solutions to make the process more manageable. The more you streamline your inventory, the more time you'll have to focus on other areas of your business.

About the author 

Peter Keszegh

Most people write this part in the third person but I won't. You're at the right place if you want to start or grow your online business. When I'm not busy scaling up my own or other people' businesses, you'll find me trying out new things and discovering new places. Connect with me on Facebook, just let me know how I can help.

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