Open to Buy (OTB) is offered in Realtime POS and the data is already present for your analysis.
Implementing Open to Buy in Your Store
For folks that are not familiar with what open to buy (OTB) here is a summary of how it could be implemented manually outside of our solution. Implementing an OTB system in your store can be relatively straightforward, but it does require some planning and organization. Here are some steps that retailers can take to get started:
1. Set a budget:
Determine how much money or inventory you have available to purchase new merchandise.
2. Project your end-of-month inventory:
Use your historical sales data to project your end-of-month inventory levels.
3. Calculate your outstanding orders:
Add up the value of all outstanding orders that you have placed with suppliers and vendors.
4. Subtract your projected end-of-month inventory and outstanding orders from your budget:
This will give you your OTB.
5. Monitor your OTB regularly:
Regularly check your OTB to ensure that you have enough money or inventory to purchase new merchandise.
6. Adjust your budget and inventory levels as needed:
If you find that you are consistently over or under budget, adjust your budget or inventory levels accordingly.
In conclusion,
Open to buy (OTB) is a powerful tool for retail management that can help retailers manage their inventory levels, increase profitability, and improve cash flow management. By regularly monitoring the OTB, retailers can ensure that they have enough inventory to meet customer demand, avoid overstocking, and allocate resources more effectively. Implementing an OTB system can be relatively
Are you tired of overstocking and losing money on markdown items? Introduce the power of Open to Buy (OTB) into your business! OTB is a proven method that helps retailers manage their inventory levels and allocate resources effectively, leading to increased profitability and improved customer service. Don’t miss out on this opportunity to take your business to the next level. Contact us today to learn more about how we can help you implement an OTB system in your store
