The complexity of wholesaling presents major business challenges such as huge product inventories, narrow margins, diverse downstream customer requirements, long lead times, and unpredictable supply. But can you overcome these three key challenges?
Mobility, both in the warehouse and out on the road, is one of the major trends affecting your industry—without it, your team can end up being tied to a computer terminal or wasting a customer’s time in the field. Your business can’t afford to be left behind.
No distribution business will make a profit, or survive, if customers are left waiting because products are out of stock. Inventory management is a constant balancing act to match demand to stock levels—and getting it wrong can be disastrous—leading to lost sales, too much cash tied up in excess inventory, and damaged customer relationships. Fixed assets, in the accounting sense, also have to be kept as low as possible as they represent a significant cost in the annual financial statements, and achieving this involves increasingly complex calculations.
How many units shipped last month? What’s your most popular item? Who’s your best customer? Which warehouse sees the most turnover? For distributors still using disparate legacy systems like spreadsheets and homegrown databases, getting answers to these questions in an efficient and timely way can be extremely difficult.