By Crystal Lengua
Accessories are more than just a way to make money (although they do play a role). Accessories can be used to enhance hot tubs and high-value products, bring customers into the store, promote repeat purchases, upsell, and offer gift options. Accessories play an important role in the pool and spa industries, since they include elements such as enjoyment, relaxation and family bonding. They also promote self-care and water maintenance, and provide gift options.
It may be difficult to decide what accessories to continue to sell or to choose from. However, you can use various tools, analyses, and data to help determine which products are best for your business and audience. In order to maximize sales, it is important to use existing sales data and ask questions about which products are best suited for customers, budgets, and stock. Cost is an obvious determining factor. However, it’s important to remember that a product mix may include items with higher costs but lower profits. Although these items may not generate substantial profits, they can draw attention to your store and facilitate the promotion of more profitable items.
In creating or forecasting sales plans, it is important to consider the big picture. It is not enough to have sellable products; inventory management must also be considered. Inadequate inventory management can negatively impact cash flow. Failure to keep up with industry trends, supply chain disruptions and customer buying habits may also lead to difficult situations. Avoid having obsolete inventory sitting around. Regular reviews can lead to duplicate inventory purchases, and proactive forecasting can lead to missing inventory.
When selecting inventory to stock, businesses can use the following methods:
Basics and point-of-sale items
Additions like these are a no-brainer. These include essentials like hot tub steps or cover lifters to indulgent items such as spa fragrances. Customers expect that a hot tub or pool store will carry these items, just as they do chemicals. This category includes handrails and umbrellas. These items are well-known for their steady sales, but also provide opportunities to upsell with expensive items like hot tubs and pools.
It is also important to think strategically about the items at the point of sale (POS). Store owners need to ask themselves what small inexpensive items they can place near the cashier in order to encourage quick sales. It is best to rotate these items frequently to keep customers interested and to encourage them to check out the “what’s-new” every time they buy. Customers may start to ignore products if the selection is static.
Use internal data and analytics
The data that is available to individuals at their fingertips are vast. Inventory turnover rates can be calculated by dividing Days in Inventory (DSI) by the inventory value. This allows one to identify which items are best-sellers and those that perform poorly. This data-driven method is useful when making decisions on what to replenish or which items to put on sale in order to make room for new products. Sales forecasting has been a tried and true planning tool for years. It allows businesses to anticipate customer demand while minimising excess stock in the warehouse.
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