How to cope with your seasonal inventory
It takes a bit of effort to get the right inventory management system in place. However, once you have achieved a strong control of inventory, management of the future will be much easier, especially for businesses vulnerable to seasonal rises or prolonged times of high demand.
Here are some tips to improve inventory control during peak periods:
Categorize
Categorizing inventory based on product life cycle will help to distinguish between seasonal and perennial kinds of products which are sold throughout the year, although some will fall under either category. For example, the market for fresh cream runs throughout the year, but soaring demand occurs for particular holidays such as Christmas.
Improve demand forecasting
Demand forecasting is one of the most difficult tasks for seasonal inventory control demand. At best, you take a guess at how many sales you expect to make in a given time period, but there are many tools available to help with seasonal forecasting that help predict base sales or seasonal trends.
Analysing historical data and seasonal variations will help identify issues that can affect the charging of products throughout the year and this information can be used to set minimum stock levels. You will also know if you might benefit from additional storage. If you lack in space, consider Self Storage Chorley a site like Andrew Porter, a leading Self Storage Chorley business.
Identify seasonal demand schedules
To plan appropriately for the peak times, you need to understand the length of your peak season. This allows you to determine the extent to which you can respond to sales of the product throughout the season. Many business owners choose to store out of season items in a self-storage unit for convenience.