Flieber Blog

Before Covid-19 upended society, the direct-to-consumer (DTC) market was experiencing a period of significant momentum. The number of brands launching in the space multiplied daily, as the lucrativeness of high-profit margins inspired new entrants. Interest from consumers was at an all-time high as they sought to take advantage of better pricing and product quality. 

When it comes to inventory planning, there is no such thing as one-size-fits-all. With more brands selling on more channels, omnichannel commerce is here to stay. But is your inventory planning capable of keeping up?

After years of investing billions of dollars into its own logistics, Shopify has decided it’s time to hand over the reins. Last month, the mega e-commerce platform sold the majority of its logistics operations to key partner, Flexport.

Whether you’re scaling an existing wholesale channel or just starting to accept wholesale orders, inventory management can get tricky — especially as your business grows. Even if you have the most organized system for tracking your retail inventory, wholesale inventory requires deeper insights into customer data and product availability. 

In the early days of retail, a small business could survive and thrive while operating a single storefront with in-store only sales. Though some businesses still operate this way today, anyone in the retail game knows that multi-channel inventory is becoming less of an option and more of a necessity, especially if you want to scale.

In 2020 as the COVID-19 pandemic gained momentum, direct-to-consumer (DTC) brands experienced incredible growth. In fact, sales across DTC brands in the US saw a 45.5% growth increase. At face value, that may sound like a beautiful thing. But ongoing challenges with the supply chain meant that many brands struggled to deliver on that demand.

Measure twice, cut once. The direct meaning of this common saying is relevant for carpenters, but its symbolic meaning is important for businesses in all industries. 

Every ounce of preparation is worth its weight in gold, especially when it comes to processes and practices that have significant repercussions when done improperly. Demand planning for your supply chain is one such process. 

Have you ever sold a product you didn’t actually have in stock? If so, you’re not alone: 34% of businesses have been forced to delay shipping a product because they sold something they didn’t have in hand. 

Though not uncommon, these types of mistakes aren’t great for your customers’ experience. So, how do you manage inventory replenishment processes efficiently enough to prevent it?

Inventory is the lifeblood of any product-based business. Without the right products, in the right place, at the right time, you can lose sales and customer trust.  

Would you hop in your car to drive somewhere if you knew you had less than 65% chance of arriving where you intended to go? When you operate your business without end-to-end supply chain visibility, that’s what you’re doing with your inventory. 

Many businesses use the terms “demand forecasting” and “demand planning” interchangeably, but they’re not the same.