A retailer can be busy every day and still feel unsure about how the business is performing. There may be stock everywhere, regular sales and plenty of work, yet too little money left at the end of the month.
The question Why is the business losing money? needs more than a sales total. The Insights Dashboard in our POS software offers a starting point for examining trading performance, while recognising that POS information is only part of the financial picture.
The dashboard brings together information to help retailers investigate practical questions. Which products are performing? What stock is not moving? Which items are being bought together?
Stock that has not sold for six months deserves a closer look. That does not automatically mean it should be removed, particularly where seasonal demand is involved. It does give the retailer a reason to review whether it still deserves space and investment.
Products bought together provide another useful line of enquiry. Those purchasing patterns may suggest a better way to position products in the shop.
The value comes from acting on a relevant finding. A retailer might review a slow-moving range or test a different placement for related products, rather than attempt a complete store change at once.
Busy and quiet trading periods are also worth examining. This information can inform a review of staff coverage, alongside the work that needs to be done even when sales are quieter.
The dashboard can also flag behaviour that may warrant investigation for possible theft. An indicator calls for a closer look; it does not establish that theft has occurred.
These are different questions, but each can help explain part of the business’s performance. The dashboard provides a place to begin rather than requiring the retailer to decide which report to search for first.
Retailer is not an accounting package. POS information alone does not provide the complete picture of rent, wages and other business costs.
Dashboard findings therefore need to sit alongside the business’s financial records. Strong product margins do not remove the need to examine overheads, just as high sales do not necessarily establish a worthwhile return.
Retailers can start with one question, examine the information and decide on a measured response. Tower’s support team can help customers find their way into the Insights Dashboard and turn a general concern about performance into a more specific investigation.
Recent Comments