Modern POS systems are packed with great features that help retailers sell products more easily. While cloud-based features have gotten closer to older point-of-sale systems, many basic cloud POS today still can’t handle selling in fractional quantities.
This is a feature that many cloud POS systems don’t build into their core features, leaving it to others to build add-on plugins. While it’s great to have extra options through plugins, these extra costs can really add-up. At the same time, when something doesn’t work, it’s hard to know which software caused the issue.
For this reason, more retailers are looking to use all-in-one cloud POS systems with built-in core functions such as selling in fractional quantities,
What are fractional quantities?
Fractional quantities (or decimal quantities) are used by retailers that sell products that are sold in different amounts to each customer. For example, if you sell cheese by weight or DIY fabric by length. Products like this are sold in bulk, not pre-packaged. The final weight or length needed is only known when a shopper is buying in-store or online. As such, the price of these products are set to a unit of measure (e.g. $ per lb or foot) and the final selling price is only calculated during checkout.
What kind of products are best for fractional quantities?
Here are some examples of products that require fractional quantities:
Bread and bakery products
Meat, seafood, or produce
Ingredients such as spices, flour, sugar, oils, etc.
Raw materials for construction, assembly or production
Supplements, beauty supplies or candy
Landscaping or garden materials
Fabric or stationary sold by size
Any item sold in bulk
Services that are charged by the hour
and many more
How do I sell fractional quantities?
If you need to sell in fractional quantities, you will need to make sure that your POS system supports inventory quantities and sell prices to the decimal place required.
Besides being able to handle fractional quantities (e.g. 0.75 lbs) and prices (e.g. $2.765), if you sell high value bulk products, you need to be able to sell in smaller units for accuracy. For example, if you sell expensive products such as gold or saffron. With these, it is common to sell to the 4th decimal (e.g. 2.7683 grams of gold) as very small quantities can cost a lot.
While selling in bulk is a common retail feature, many basic cloud systems don’t handle it to the required decimal and will automatically apply rounding. This is where modern cloud systems such as TAKU come in. They are designed to allow retailers to accurately set prices and track stock quantities so that they can make more money.
As the infamous Staples ad campaign once exclaimed, “it’s the most wonderful time of the year”. No, they weren’t talking about Christmas time – they were talking about back-to-school season! It’s one of the most exciting times for retailers as shoppers are out and about looking for great savings as they or their kids are heading back-to-school. It’s always important to get prepared as soon as possible, so here’s how to prepare your retail store for back-to-school season.
What are people looking for this back-to-school season?
It’s no surprise that inflation is on the minds of most shoppers today. As the cost of living continues to soar, people are reviewing their budgets. In fact, over 75% of parents are shopping based on school provided lists and will be budget-aware. What does this mean for retailers? Well it’s an ideal time to use in-store displays to show off promotions and deals. Make sure your customers realize the savings they could gain from your deals. This will encourage impulse purchases.
Households surveyed revealed that average spending per student is expected to rise by 8%. Reaching around $661 of spend per student. This means retailers are going to have to work to earn their share of back-to-school budgets. Back-to-school sales aren’t growing as much as last year, but they are still growing regardless as life transitions back to normal after the pandemic.
Back-to-school tax holiday
Saving money is getting harder and harder, so state governments have decided to get involved this back-to-school season. For example, in the US, 18 different states are participating in tax holidays to help parents save on school supplies. Below is a list of the states participating. Learn more here.
States participating in a back-to-school tax holiday
If you are a retailer in one of these states, you should try to coordinate your store promotions with the tax holidays. This will ensure the best back-to-school excitement.
Students aren’t the only ones
You should keep in mind that students aren’t the only ones looking for great back-to-school deals. Teachers and school administrative staff are also in the market for supplies! Make sure you offer deals on the types of items they would also be looking for. Things like coffee mugs, tote bags, class room supplies, etc. You can also offer specific deals for teachers. Give them discounts for certain supplies unique to their needs.
Preparing for the masses
Since many businesses deal with large waves of customers during back-to-school season. You and your business need to be prepared for the rush. You will need to make sure that you are stocked up with inventory. Having a POS which can help you keep track of inventory is a huge help! You should also consider whether you need to place restrictions on certain products. This could mean limiting customers to certain quantities of items.
You will also want to consider whether your physical store can handle a large amount of foot traffic at once. Do you need to limit the number of customers inside the store? Do you need to readjust shelves / displays to accommodate customers? Can you handle large lineups of customers? If you’re dealing with a staffing shortage like many businesses everywhere, technology solutions such as self-checkout kiosks can help you speed up sales while keeping your labor costs down.
Make sure people know about your deals
There’s no point in preparing awesome back-to-school deals and promotions if no one knows you’re offering them. So you will need to advertise them. There are many ways to advertise your sales. For instance, you could send out flyers (a classic strategy), run paid social media or Google local inventory ads. Another great strategy for smaller local businesses is to find local Facebook groups or to boost on Facebook Marketplace which is popular for local search. You can easily share your back-to-school promotions on said groups.
Back-to-school season is an exciting time for many retailers. This year, to earn your share of the shoppers’ limited budget, you will need to be prepared. Plan in advance, offer great deals earlier, and make sure people know about your promotions in as many channels as possible. But also keep in mind how you’re helping to ease some of the financial burden for families facing times of struggles.
Simply showcasing your inventory online is another great way to drive customers to your store. This is a tactic that will be even more useful for back-to-school season. With TAKU you can easily have your inventory shown online. To learn more click on the banner below!
In the current world of retail, having an online catalog is essential. Customers are spending so much of their time on the internet, being able to reach them online is now crucial. Yet many merchants still rely on physical print catalogs. While this is still a great strategy, there’s no reason not to add a digital catalog on top of that.
Times are different now, physical marketing materials should be an add-on, not your main strategy. After all, online ones are much easier for consumers to access since most people always have their phones on them, and they can provide a lot more information. Not to mention, they are much easier and cheaper to keep up-to-date.
5 reasons you should have an online catalog
We understand that many brick & mortar stores may not have the resources or technical skills to set up an e-commerce store. However, it’s very important for all physical stores to at least start an online catalog for shoppers.
Here are 5 main reasons why you should:
1 – Shoppers buy more when they know what products you carry
Google’s research indicates that shoppers avoid stores when they do not know what’s available inside the store. After all, the majority of shoppers do research online today before heading out and stock availability helps shoppers decide which store to go to. Making it easy for shoppers to see what you have available on your shelves today drives more foot traffic to your physical store, which then increases your sales since impulse buys and upselling increase basket size.
2 – New customers can see what you offer
You’ll be able to attract more new customers if your products are showcased online. People who are learning about your business for the first time will be able to better understand what you offer, even before they step foot in your store. If you use a modern system such as TAKU, your POS will automatically update your product showcase on Google so that nearby shoppers see real-time stock levels that adjust in real-time even as you sell.
Having stock levels update automatically is a key difference with a digital product showcase vs. traditional print catalogs as shoppers today expect stock information to be accurate whether they buy in-store or online.
3 – Digital catalogs are easier to share
Digital catalogs are great since they are so easy to share. In the age of social media people are always sharing things with others. Where a physical catalog requires someone to actually hand their friend the catalog (which may be out-of-date), a digital one can be shared around the world in a few clicks. It’s easy to see why this is a good thing, the more people that see your catalog – the more potential sales you could get. Similarly, shoppers are more likely to consider retailers recommended by their friends or contacts.
4 – Digital catalogs offer 24/7 customer assistance
Having a digital catalog reduces the amount of time spent answering general questions. If you have a product showcase, your shoppers will have 24/7 access to photos and product descriptions. This eliminates the need to have employees repeatedly answering the same questions. This also relieves some of the burden on your sales team as they will spend less time answering explaining product details and more time selling. This will in turn improve your overall customer service.
It’s best to think of an online catalog as a marketing investment. There is a cost to set it up in the beginning, but once it’s up and running, it provides free sales assistance and will quickly pay itself off.
5 – It will help you understand your customers better
Since an online catalog will be on your digital channels, you will be able to collect data that will be useful for digital marketing. The collected data will help you gain better insights into your customers and even answer a few questions along the way. Analyzing data collected from your digital catalog could help you answer questions such as:
Which of my products have the most views online?
Are people aware of my business? Are they interested?
How many people are making purchases based off of my catalog?
Do I need to change the products I am carrying?
How can I get more people to sign up for my email list?
Do my customers research products before purchasing?
Overall, a digital catalog helps to enhance your customer service. It allows shoppers to conveniently check what is available, find out information regarding products, and even share with other potential customers.
With an online catalog you will be able to reach more shoppers with less effort. It will also allow you to save money over time compared to physical catalogs. It is an investment which will quickly pay for itself. As a retailer you should consider adding or improving the digital catalog for your store. Happy retailing!
Want to start displaying your products online? TAKU’s Google SWIS integration allows your to showcase your inventory on Google in real time! To learn more click on the banner below.
You may have heard of the retail term “guideshop” in the last several years. Brands such as Bonobos have had great success with guideshop stores. This retail strategy is a throwback to the idea of “showrooms” and works particularly well for retailers in the age of ecommerce. In fact, running a guideshop is also known as “showrooming”. But what exactly is a guideshop and why should retailers consider it for their physical stores?
A physical store where customers can experience the products before purchasing it. The physical store only showcases the product for customer experience but do not sell any physical items. Customers place orders in the physical store [that] will be delivered to their homes.
It’s easy to understand why guideshops are also known as showrooming. After all, showrooms are traditionally physical locations where businesses display merchandise so that consumers can engage with products before ordering. One of the best modern examples is Dyson’s demo shop. Showrooms and guideshops typically carry little to no inventory for immediate purchase.
Who should consider this store strategy?
Showrooming and guideshops are traditionally best for retailers who sell products which customers prefer to take a look at, try on, or test out before purchase. Typically these products don’t sell as well if only sold online. In particular, showrooms are great when the retailer’s products physically take up a lot of space or are of high-value, both of which makes it hard to stock inventory in-store. Think of things such as appliances, furniture, jewelry, etc. With furniture for example, retailers have limited warehousing space since their stores need a lot of display space. But their shoppers often want to physically see how big a piece of furniture is, how comfortable it is, and how it feels in person before purchasing.
The change today is that non-traditional showroom products are also able to use guideshops to offer better customer service with smaller, more cost-effective shops. This is exactly how Bonobos guideshops work. They are smaller stores where customers can go in and try on the entire product line for delivery at home. But Bonobos has made an effort to provide above-average customer service by training employees to help customers find the right fit and size.
Not only are guideshop stores easier and cheaper to operate without the cost of carrying stock, better trained sales associates encourage higher sales per shopper. And naturally, because customers will have a profile setup for their pickup or delivery, all of the shopping data in-store and online is stored for better customer service and personalized digital marketing.
Another key market for guideshops are retailers that manufacture or sell their own private-label brands. When you sell a brand that cannot be found anywhere else, there isn’t a risk that shoppers will try on merchandise in-store and buy the products elsewhere. In this case, guideshops offer a cost-effective way to run more smaller physical stores without the carrying costs of traditional brick & mortar stores.
What kind of customers does this appeal to?
Guideshops tend to attract shoppers that enjoy touching, seeing or interacting with products before buying them. The slower, discovery process involved with customer service-driven guideshops and the inconvenience of carrying products around while shopping makes guideshops more attractive to shoppers in urban centers or walkable main streets. The strategy generally works even better for high value items where shoppers expect superior service and delivery may be considered more secure than walking around with a bag from an expensive store. For example, people often visit the Apple Store to test out new devices since they are expensive. But oftentimes during checkout, Apple shoppers will have their purchase shipped home to avoid carrying a bag around with the Apple logo on it.
The benefits of retail showrooms and guideshops
Hopefully this article has helped you get a good idea on why showrooming is great. To recap, here are the benefits of using a guideshop store strategy:
Lower costs: Carrying less inventory is the easiest way to lower the overhead costs of your business. Keep in mind, you can also offer store pick up options to keep costs lower!
Better experience for customers: Employees focus on helping customers find the perfect product for them and even upsell additional ones.
Sell more things: With less space required to stock products, showrooming allows stores to showcase more products. Retailers can sell products without having to stock anything and can simply order for delivery after taking payment.
Now that you understand what guideshops are, consider whether this could be a good strategy for your retail business. It is definitely a retail trend which will continue to change the way people shop.
Learning the ins and outs of retail is a journey. But it doesn’t have to be scary. TAKU is here for you. Check out our retailer’s glossary to read up on the 100 most essential terms in the world of retail! Click on the image below to learn more.