What if I say Retailers today are investing 47% of their value un-necessarily ? One of the biggest not-so-famous problem today in the retail industry is, in the awe of Selling more, retailers are spending more. Unlike other businesses, Retailers have very less time to focus on ROI and hence end up doing anything so that they can earn more money out of it.
But does this work out ? If you invest on things that you don’t need, soon will have to sell things that you need. Or do you still think, Retailers are not investing much ?
One typical scenario is, we tend to think that in order to manage queues, adding up a billing counter – can reduce the waiting time of the customers, which is in-fact true. But to make 30 bills averagingÂ â‚¹150/bill, he has to spend almost â‚¹75,000 to setup a new billing counter.
Yes, just like how the maggi consumption problem was unnoticed till it reached an extent, the Hardware investment of retailers has crossed the threshold and reached a worse extent. According to Retail Research, a typical Supermarket uses 15 computers, out of which 12 computers are used only for sales – billing counter. All the other major operations like Accounting, Purchasing, Reports, Analytics, Tax Filing are done by utilizing the other 2-3 computers.
While the idea of having many billing counters is really good, it is not required to invest so much on hardware, that we keep spending more to manage the hardware instead of earning more out of it.
15 computers can cost upto to â‚¹11,25,000 and if a retailer smartly decides, he can do his managerial jobs with just 2 computers costingÂ â‚¹1,50,000, at the same time smartly bill in 12 counters & save upto 9 lakhs.
As the retail industry is rapidly changing, the forms of billing has evolved in the past 10 years. Billing using Personal Handheld devices (Mobiles, Tablet, Phablet) is trending. It is now possible to have one computer as the main machine and all the billing counters can be replicated in a TABLET. So instead of spending 1 lakh for a billing counter, a retailer can save 90% and meet his purpose in justÂ â‚¹10,000. This money-save can help you in business expansion, multiply outlets, offer a enhanced customer experience by trying out various trendy activities and loyalties.
Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Reduce 86% Investment with Modern Billing Device.
A smart and minimal investment pays the best interest !
In 2018, A Retailer’s investment should not be aimed at beating others in the market, push down the competitors but to control and manage the own retail outlet in the market.
Managing retail store starts right from choosing the best hardware, software to effectively utilizing the resources. Adopting to the latest trends – replacing large computers with similar small yet powerful tablets, offering a personalized shopping experience to your customers, collecting their feedback and replicating in operations are few of the many things that could help you excel, with minimal investment and more profit.
Hope this practical example of Hardware Investment awakens you from the illusion of earning more by spending more. As a pioneer in Retail Industry, adapting the future of retail through digitalism, we focus majorly on retailers’ glory across the world. Please do subscribe to the blog and continue receiving such useful business tips and ideas in future as-well.