Managing Inventory Keeping Inventory Fresh and Maximizing Sales

Managing Inventory Culling Creating a System What is culling? Why culling is one of the most important operations in a Thrift Store? Creating a System Options to identify aging inventory Scheduling/Calendar options Managing the process What does the Store do after it culls? Questions?

Culling What is culling? Why stores need to Cull The process of removing aging items from store inventory in order to have Fresh merchandise for Customers to choose from. Why stores need to Cull Thrifters know the merchandise in a store and are constantly looking for “new” items. The “fresher” a store’s inventory the more times a customer will visit in a week/month. The longer an item lingers in a store the less likely it is to sell regardless of what it is. If it doesn’t sell in 1 week or less the chance of it selling drops to 30% unless something is done. Culling provides the opportunity to place new items on the floor, thus driving sales.

Creating a System Options to identify aging inventory Colored tags, stickers, plastic taggers, highlighter, etc.

Creating a System Scheduling/Calendar options Decide on length of the cycle (3-6 weeks) Draw it up and follow it

Creating a System Managing the process Exit Strategy Track departments that are culled to manage stock by specific category Make good business decisions depending on availability of goods Not all items should be culled: men’s jeans, seasonal during season, etc.

What does the Store do after it culls? Clearance rack with single price point Pound Store Special needs donations Recycle

QUESTIONS ?