By Steve Choate for our 99 Ways to Make a Positive Difference in Your Pharmacy blog series
Are you buying the right amount?
Every day you are probably approached by someone wanting to sell you something for your store. How do you know how much to buy? Sometimes if the deal looks too good to be true, it probably is.
When you are evaluating what products to carry in your store and how much to buy, take the following things into account:
- Is this a product that your customers would expect to find and purchase in your store? Unique is good; outlandish may not be so good!
- Does this product provide a “solution” for your customers? In other words, does this product round out the item mix you already offer and make your store a “one-stop shop” for this product category? An example would be making sure that your store carries facial tissues and hand sanitizer along with your cold & flu products.
- Does the product have an expiration date? How long is the expiration date and how long will it take you to sell the amount you are buying? Only purchase what you will be able to sell in a reasonable amount of time. Expired product equals lost profits.
- How much of a discount are you being offered to buy this product? What is your cost of money and how soon will you be recouping this expenditure? Are there some other products that you could use your money to buy that will give you a better return on investment (ROI)? You may be receiving what looks like a great deal but in the long run you may lose money on the purchase.
- Do your shelves look full and inviting or empty like you are going out of business? Make sure that your store has merchandise to sell to your customers.
Using your buying dollars wisely makes great business sense! Smart Buying!
As business development manager, Steve's primary goal is to build long term alliances and develop mutually beneficial relationships with existing and new clients and meet or exceed their past, present, and future revenue goals in a cost-effective and efficient way.