eCommerce businesses can manage typical multichannel inventory management issues with the help of multichannel inventory management software. Online B2B eCommerce businesses, wholesale distribution businesses, vendors, and dropshipping wholesale suppliers benefit from having more control over their inventory and customer orders.
Key Takeaway: The perfect multichannel inventory software will enhance data integration, automate your supply chain, give vital inventory KPIs, and improve inventory management. Furthermore, multi-channel inventory management solutions integrate with all of your sales channels to guarantee that all of your orders, customer data, and inventory information are synchronized in real-time to one location.
Multichannel inventory management software offers business tremendous benefits. However, it can be challenging to distinguish between the various multichannel inventory management software solutions available on the market.
So, how do you choose the best software for your business? This article reviews the top features to look out for when selecting an inventory management software for your business.
Top 8 Features of Inventory Management System
Pay close attention to the following features when selecting a multichannel inventory management software:
- Data Analytics and Real-time Updates
As orders are completed, a reliable wholesale inventory management software updates the stock levels in real time for all sales channels. Your software's inventory analytics will have an impact on this system's effectiveness and efficiency.
You can view past key sales indicators and significant data on shipping performance, inventory, and orders, including sales volumes and refunds, with a consolidated dashboard. Your multichannel inventory management system should automatically reserve inventory for a new order and update your listing to avoid backorders.
In order to prevent overselling, you should also be able to create inventory thresholds or buffers that limit the number of channels via which an SKU number can be purchased after its total inventory reaches a particular amount.
- Inventory Management Optimization
As inventory is sold on each sales channel, the inventory list should be automatically updated. In addition, as inventory levels restock, product listings' stock levels should be changed.
Your multichannel software should support inventory control and demand planning end-to-end. Consider its SKU flexibility and forecasting capabilities carefully before settling on a single inventory management system.
The best software enables separate tracking of individual goods and product variants. With this flexibility, you have instant access to your product information and can keep track of your inventory across all sales channels, allowing you to always replenish the right things at the ideal moment.
- Automated Vendor Management and Purchasing Orders
By recording crucial data like lead times and minimum order requirements, a multichannel inventory management system should make it simpler to manage supplier relationships. A robust inventory management system also manages the complete order process, tracks purchase orders, and produces orders automatically as needed.
- Enhanced shipping
Inventory management software can automate bulk shipping processes and drastically cut the amount of manual labor required for each order. The capacity to designate the appropriate carrier or order fulfillment partner and the ability to follow orders after they have been sent are additional crucial components of any effective multichannel inventory management solution.
- Third-Party Integrations
Third-party integrations significantly increase the functionality of your e-commerce business. To make sure you're not trading functionality for performance, check the selling channels that can interface with your inventory management software.
Direct interfaces with eCommerce marketplaces, vendors, 3PLs, and software you use that affect inventory monitoring will be available from the ideal multichannel inventory management system. You should have complete insight into the status and location of your stock from the central dashboard.
Some of the integrations you should look out for include:
- Warehouse management software integration
- Wholesale inventory management software integration
- Wholesale ERP software integration
- Payment processing software integration
- Delivery and route optimization software integration
- Vendor management software integration
- Invoice management and invoice processing software integration
- Automated billing software integration
- Subscription billing management software integration
- Order management system integration
- Vendor management software integration
- Demand Forecasting
In multichannel inventory management, demand forecasting plays a significant role. Look for a multichannel inventory management system that provides you with more than simply alerts when your stock is getting low.
Choose the one that actively makes recommendations for inventory optimization based on fresh trends, sales variation, and anticipated expenses or profits on each market.
- Purchase Orders (POs) and Reorder Points
An automated PO system is a crucial component of a multichannel inventory management system. By auto-filling common information and providing a single location to check order progress, it enables you to create POs on the fly (drafts, approvals, rejections, and sent orders).
You can even set your own reorder points thanks to this capability. In the event that demand for just-in-time inventory surges wildly, you should be able to quickly create a PO for any SKU. As a result, you can maintain just the right amount of inventory on hand and avoid incurring unnecessary upfront costs for inventory and storage fees.
- Bundling and Kitting
Kitting and bundling is the process of combining products and offering them for sale as a single, bundled item. The total amount of inventory determines the final quantities that are offered for sale.
Products are updated continuously and inventory will be recalculated when your listings sell. The complexity it adds to your warehouse management, fulfillment center, inventory and stock level management could be a drawback to product kitting and bundling.
However, make sure your multichannel inventory management system can track inventories around the component and master SKUs if you intend to provide multipacks or virtual bundles. You can offer products as single or bundled units rather than having to pre-package them in kits or bundles.
Frequently Asked Questions About Multichannel Inventory Management Software
For businesses that use multiple sales channels to reach customers, multichannel inventory management can be challenging. However, the right multichannel inventory management software will surely streamline your business process flow and automate your operations.
What is Multichannel Inventory Management?
Multichannel inventory management relates to keeping track of stock levels, reorders, and inventory forecasting across all sales channels. As the point where supply and demand meet, it aids in tracking and planning for inventory turnover.
What is the Difference Between Omnichannel and Multichannel?
Omnichannel refers to the use of all accessible media channels and is focused on the customer and building positive customer experience. On the other hand, multichannel refers to the use of multiple channels that are focused on the product or service.
What is Multi Item Inventory Model?
Under the constraints of storage area, total average shortfall cost, and total average inventory investment cost, a multi-item inventory model with continuous demand and unlimited replenishment is constructed. These limitations could be exact or vague.
Is ERP Used for Inventory Management?
Yes, it is. Enterprise resource planning (ERP) inventory management system enables companies to handle all facets of their operations, including finance, planning, logistics, and inventory, on a single platform.
What is Multi Channel Optimization?
Multi channel optimization refers to strategies used to raise key performance indicators (KPIs) across all of your marketing channels. The most effective campaign variables will be scaled across the entire program after being tested as you develop your channel optimization approach.
Even the Tiny Detail Counts
Multichannel inventory software is a solution to streamline your business. For example, BlueCart is a complete eCommerce platform for the hospitality and wholesale food industries that enables you to automate your inventory management procedures and provide superior customer service.
Workflow can be made simpler by consolidating all of your inventory and listings in one location. Over time, this can help your business by making it easier to expand as you gain more customers.