Stockouts happen. How much are they costing your business?
Inventory has become a sore topic for even top brands
Global supply chain disruptions have caused more stockouts and inventory issues than ever before.
Unexpected changes in customer demand also result in products running out of stock. The pandemic has also rapidly triggered immense shifts in customer interests and buying behavior, which is fickle and difficult to predict.
Stockouts cramp your ability to optimize your cash flow
Cash flow conversion slows down when inventory can’t be sold due to delays and disruptions. When an item is be stuck at a port or on its way to the warehouse, it can’t be sold until it reaches its destination.
As a result, brands have working capital tied up in unsold inventory instead of being used for other growth channels like introducing new product lines, paid advertising, or other new initiatives.
Customers are upset when they can't buy the items they want
Negative customer experiences hurt brand loyalty. Average order value (AOV) and a customer's lifetime value (LTV) take a hit.
Customers are less likely to return. It cost you money to acquire that customer, but now you may lose them and their trust.
These are long-term repercussions that can hurt your brand's sustainability.
You're missing out on revenue that could help grow your business
Back in stock notifications convert poorly. Perhaps 5-15% of customers will return to buy the item when they receive a restock notification.
Revenue captured by selling on backorder can be used to hire new team members, develop new products, enter new markets, and more.
You’re giving business away to your competitors. When customers need to buy an item, they're likely to purchase from a competitor.
Increase revenue, even when items are out of stock
… your customers can buy items when they're not in stock.
… customer satisfaction increases, along with brand affinity.
… your ability to sell not being limited by the amount of products you have on hand.
… you have extra working capital to invest in your brand's growth.
Set expectations from the get-go. Cogsy displays the product’s expected shipping date on:
Avoid refund requests
Cogsy’s operational optimization platform will ensure the estimated ship date provided to your customer is as accurate as possible.
Lead times can be edited at the vendor or SKU level to get the most accurate ship date possible.
Conversion rates that can't be beat. Products on backorder convert nearly identically as well as products that are in stock
Drive your brand’s growth by selling on backorders with Cogsy.
Both your customers and your team will be happier
Allow customers to order the items they want from your brand, regardless of stock levels.
Decreasing the stress of lost revenue during stockouts for your operations teams.
Fuel your business growth with increased revenue and satisfied customers
Stop leaving sales and revenue on the table.
Use your increased revenue to invest in your brand's growth.
Be proactive. Grow better