Every online store has its core products that bring in consistent business, but there are always those slower-moving items that can go unnoticed. If online store owners don’t keep a regular eye on their inventory turnover, they risk losing valuable warehouse space, increasing their operating costs, and missing out on potential sales. Don’t let stagnant products hold you back! In this article, ePlus provides you with tips on how to identify slower-moving items in your inventory and develop effective marketing strategies to boost sales. By understanding your customers’ needs and implementing creative promotions, you can turn those stagnant products into hot sellers and keep your online store thriving.
How can you identify slower-moving items in your inventory?
There are several indicators commonly used, such as:
1. (Total stock of each product SKU – Sales Forecast for that product in the past six months) = Number of slower-moving items for that product.
2. Compare the number of units shipped for each product SKU during a specific time period and set a “Slow Moving” standard based on the operating model of your online store. For example, if a certain type of product has been sitting in the warehouse for more than 12 months, with no sales for more than 6 months, it can be defined as a slower-moving item in inventory.
3 Strategies to Address Slower-Moving Items
Once online store owners have successfully identified slower-moving items, the next step is to try to understand the reasons behind it and develop corresponding marketing strategies to reduce the risk of overstocking.
1）Adjust Marketing Strategies
The first step is to take a hard look at your current marketing strategies. Are you reaching the right audience? Are your ads effective? Is your content resonating with your mtarget market? By asking these questions and adjusting your marketing strategies accordingly, you can increase your chances of reaching potential customers and generating demand for your slower-moving items. You also need to take specific actions to implement your new strategies, such as using market data to understand actual demand, revamping your product photos to make them more eye-catching, and expanding your sales channels. By doing so, you can not only increase sales of your slower-moving items but also improve your overall marketing performance.
2）Promotions
Promotions are a common marketing strategy used by online stores with the goal of increasing product sales. This includes:
- Promotions: Promotions are a great way to do just that! From discounts to bundle sets and free gifts, there are many creative ways to market these products and boost their appeal to customers.
- Bundle Sets: Packaging different products (e.g., high-selling + low-selling) together at a special price to increase the average sales volume.
- Free Gifts: Turning slower-moving items into gifts as a marketing promotion for the brand and also inviting customers to provide feedback to better understand their thoughts.
3）Adjusting Product Display in Online Store
The way products are displayed in an online store plays a crucial role in sales volume. For example, when visiting different online stores, we often see popular/highlighted products placed at the top of the homepage to attract consumers to click and make a purchase. For slower-moving items, online store owners can try displaying them in different areas of the online store to increase visibility and enhance the chances of sale.
Effective inventory management is one of the key factors in running a successful online store, helping to increase overall sales volume and reduce the risk of overstocking. As your eCommerce logistics partner, e+Solutions (ePlus) provides one-stop logistics support, including an efficient inventory management system that allows you to track inventory in real-time, anytime, anywhere.
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Encountering any e-Commerce logistics troubles? e+Solutions can help you! From goods storage and management, handling and packaging, to arranging last-mile, we can meet all your logistics needs while allowing you to operate an online store easily!
