Inventory Accuracy
The Inventory Rabbit Hole - Retail stores vary, but one common challenge is maintaining inventory accuracy. With the flurry of activity surrounding a store, retailers often struggle with inventory accuracy because they lack the necessary tools to manage it efficiently. Many factors impede inventory accuracy, including shrinkage, out-of-stocks, overstocks and product substitutions. Together, these inventory mishaps are costly and can kill a retailer’s profitability. According to recent research at the RFID Research Center at the University of Arkansas, the current inventory accuracy rate for apparel stores in the U.S. is only 65%. With trending statistics such as this, retailers are scrambling to understand their inventory inaccuracies to the penny. Visibility is the primary driver to increase inventory accuracy. Retailers adopting preventative solutions help improve visibility, avoid inventory pitfalls and increase profitability.