POS•IM is not only a fantastic Point of Sale system; it is also a firm foundation for your business to grow on. It has all the features you need to help you see where you’re at and where you’re going.
Retail is a business, not a hobby. Many retail owners open their doors because of their love for the products. But they soon find out that to be successful, they need to run it like a business to survive.
Successful businesses use benchmarks. A benchmark is simply a goal that needs to be reached for success. Benchmarks are set each year and reviewed at least monthly. Without benchmarks to guide the retailer, a business becomes a tumbleweed in the wind.
The successful retailer understands there are two levels of benchmarks: the department level and the store level. In many cases, the store level benchmark is simply the sum or average of all the department benchmarks.
To set benchmarks, the manager needs to have store history and industry standards. Store history gives the manager a feeling of past and present performance for the benchmark. Industry standards give the manager a feel for what has been achieved by others in the same industry. These two factors, tempered by local economic conditions and resource availability, allow the manager to set wise benchmarks.
A good beginning set of store benchmarks would include the following:
• Store Traffic – The number of people that actually come into your store.
• Capture Rate – The percent of those coming in that actually buy.
• Sales – Total of all sales.
• Maintained Margin % – The percentage of sales dollars is margin (Sales-Cost).
• Turnover Ratio – The ratio of annual cost of goods divided by the average inventory.
• Projected inventory – The calculated value of the optimum inventory value at cost.
POS•IM can provide you with all the data that you need to set and track these benchmarks. It automates the process by recording sales to customers, purchases from vendors and by giving you reports on the results. You can then control your inventory based on hard numbers rather than “gut instinct”.
If you are looking for a great Point of Sale system (for either Mac or Windows), POSIM is a perfect solution. Let us help you set a strong foundation for your business.
www.posim.com or 800.409.7678
