Increasing sales is only half the answer! Sales bring in the cash to run your store. So, improving sales is always important.

But too many retailers forget (or don’t know) about turnover. If sales are to pay the bills, the bills must be appropriate for your sales in order that sales cover vendor invoices, overhead and profits. Without this focus on turnover, retailers will overbuy. Overbuying will be a major inhibitor to being able to pay all of your obligations and make a profit.

If sales are 100% and you work on a “keystone” (50%) markup, then half of your sales income will go to pay your vendors. Your overhead (rent, utilities, labor, advertising, etc.) will consume another 40% leaving 10% for your profit. That works out great if you only buy what you sell and don’t take any markdowns. If you buy more than you can sell, sales will not generate enough to pay your vendors. If you mark down merchandise to raise cash, you are effectively eliminating the contribution to overhead and certainly profit.

Adding turnover to your planning will dramatically reduce markdowns. Turnover is the rate at which you deplete your inventory during the year.

In the clothing business, you have four or five (cruise) seasons each year. The merchandise for summer is not appropriate in fall or winter, etc. so it is important to be out of summer merchandise as you approach fall. You should be thinking about four or five turns each year for your planning. If you include turnover as a part of your buying plan, you will keep your sales on target, but more importantly, be able to meet your payables and take your profit every month.

The way to work both sales and turnover into your buying plan is “open to buy” planning. There are software and services available to help you come up with your plan, but the most cost effective, comprehensive, accessible system is MYOTBPLAN.COM. Because we’re web based, you can access your plan at any time from any computer, tablet or smartphone. And there’s no risk to use MYOTBPLAN.COM because we guarantee that your inventory will be leaner, better balanced, and faster turning, with your markdowns reduced and your cash flow improved or we’ll give you your payments back. And we support our system 10 hours every day so when you call with questions, you’ll get information about your data from someone who knows the answers.


Subscription Information

By filling out the form below, you are merely indicating your interest in becoming a subscriber to myotbplan.com. The cost per store is $150 / month and includes 30 departments. Additional departments are available at 10 departments for $25/month.

We will call you (if you are in the US) or email you with additional information and ask for your credit card information as the subscription cost is charged to your credit card automatically every 30 days.

There is no contract and every subscriber is covered by our Performance Guarantee. The system is supported from 9AM to 7PM PST 365 days a year and you are encouraged to call as often as you have questions.

You will be required to read our general instructions before you begin filling in your data and there is detailed information about each screen on the screen you're working by simply clicking the Help icon at the top.

The program is easy to use, accurate, affordable, accessible, supported and guaranteed. It's simply the best open to buy plan available. We will contact you as soon as we received your information. Please be complete.

Subscription Form

Subscription Form

All fields required
Address
Sending