Every retailer dreams of achieving a well-balanced inventory—one that perfectly aligns with supply and demand while ensuring steady business growth and financial stability.
This balance isn’t a far-fetched goal. With an open-to-buy (OTB) plan, retailers gain the clarity and control needed to optimize inventory management effectively.
What Is an Open-to-Buy Plan?
An open-to-buy plan is essentially a purchasing budget designed for inventory management. It calculates the difference between the amount of stock needed and the stock currently on hand, guiding retailers on how much to buy and when to buy it.
This strategy ensures that:
- You’re Stocking the Right Products: Minimize the risk of understocking fast-moving items or overstocking less sellable ones.
- You Meet Customer Demand: With products readily available, you avoid the risk of losing customers to competitors. Studies show that 73% of shoppers won’t wait for restocks—they’ll simply take their business elsewhere.
- Your Financials Stay Healthy: Overstocking or markdowns lead to significant losses, with inventory imbalances costing retailers an average of $568.7 billion annually. OTB helps you maintain a positive cash flow by optimizing stock levels.
Benefits of an Open-to-Buy Plan
- Prevents Overstocking and Understocking: Reduces missed sales opportunities and eliminates the need for costly markdowns.
- Improves Cash Flow: Frees up funds to invest in new opportunities instead of tying them up in stagnant inventory.
- Supports Quick Reactions: This enables you to restock fast-selling items in a timely manner, keeping up with customer demand.
- Boosts Profitability: Ensures your inventory investment directly contributes to sales and profit growth.
Retail Smart Guys: Your Partner in Inventory Success
With Retail Smart Guys (RSG), you don’t have to manage it alone. Our tailored Open-to-Buy Plan Service offers:
- Customized monthly plans by product category.
- Expert analysis to streamline your inventory.
- Actionable insights for improved profitability.
Keep Your Inventory in Peak Condition
Don’t let inventory challenges hold your business back. Retail Smart Guys’ open-to-buy planning service is your ultimate solution—your “apple a day” to keep inventory issues away!
Contact RSG today and take the first step toward smarter inventory management.
Get a FREE first hour of setup.
Best,
Dan Jablons
Retail Smart Guys
Cell: 818-720-2585
