Is your store providing you with a living or are you continuing to support it by borrowing or depleting your savings to ensure that you can pay the bills? The downside of retailing can be the drain on your financial resources in order to keep the doors open. It doesn’t have to be that way!
Your buying is your bottom line. Most retailers think that buying the right items ensures success. That’s certainly important, but even more important is buying the right quantities. Planning is a very important aspect of your buying.
When you go to market or a trade mart or see reps in your store, it’s very easy to overbuy. We are all ego driven and want the reps to feel we are the top retailer around. One way we do that is by writing bigger orders than needed. Reps want to be your friends so you will buy more from them. You must resist this so you can keep your own house in good financial order.
Within your business, you have three financial segments: merchandise, overhead, and profit Everything is contingent on the merchandise and how much you buy. Buying too little and missing sales will hurt income. Buying too much will create excess invoices and markdowns. Markdowns eliminate any contribution to overhead and profit.
The path to retail success is mapped out by an open to buy plan. Based on YOUR anticipated sales and YOUR desired turn rates, it will guide you to buy the right quantities of merchandise in the right categories for delivery at the right times. myotbplan.com will guide you through the process of setting up and maintaining your open to buy plan in a way that any retailer can understand, implement, succeed with.
With myotbplan.com, your buying will be on target, your sell through will be high, you’ll make the necessary contributions to overhead and take home consistent profits.