7 Reasons Why the Apparel Industry Needs Inventory Management Software

“Digital era drives the clothing industry to a dynamically evolving sector. Today, fashion is reshaped as a fusion of creativity and technology.” 

The clothing industry is a dynamically transforming sector that quickly adapts to market trends. With new tech inventions, the fashion industry is rapidly growing. Designers are leveraging accounting solutions to streamline financial management. 

Inventory management plays a crucial role in the success of every business. It eases the management of clothing stocks, record maintenance, and more for store owners. Let’s try to understand apparel inventory management. 

Introduction

Monitoring and organizing the clothing stock levels based on business needs is apparel inventory management. Efficiency in this process is the key to the success of the apparel business. Inventory management caters to maintaining physical stocks and monitoring warehouse operations. 

Effective inventory management minimizes errors, additional costs, and inventory inefficiencies. The process streamlines production, improves demand planning, and optimizes functionality. 

Types of Apparel Inventory Management 

1. ABC Analysis

In ABC analysis, the garments are categorized based on high-selling, moderate-selling, and low-selling products. 

2. Seasonal Inventory Management

Managing stocks based on the fluctuating seasons is seasonal inventory management. 

3. Perpetual Inventory System

This stock management solution caters to updating inventories in real time. 

4. Just In Time Inventory 

JIT involves receiving, ordering, and receiving goods only when they are needed. 

5. Bulk Shipping and Reordering 

This caters to ordering massive volumes of products and setting up an automated reordering system to avoid stockouts. 

Inventory management software streamlines inventories and offers accounting, invoicing, and more. 

Let’s dive deep into seven reasons the apparel industry needs Inventory Management software. 

Why Does the Apparel Industry Need Inventory Management Software? 

1. Improved Customer service

• The automated warehousing software offers accurate textile information, including size, color, and availability, which helps customers make informed decisions. 
• The inventory management software ensures that stocks are filled accurately to avoid stockouts when customers want to make a purchase.   
• The application offers transparency to the customers, allowing them to track their order status through a tracking system. 

2. Sales Channel Management 

• Apparel inventory management software allows you to track inventory levels across the sales channels. This helps to avoid over or under-selling the garments. 
• Also, the clothing company can integrate an inventory management system with an e-commerce platform to maintain accurate information. 
• For designer studios with multiple warehouses, it manages inventory across all locations. 

3. Seasonal Variations 

• The apparel industry is highly dependent on seasonal variations. With changing seasons, clothing stores, too, have to reorganize their wardrobes with new stock. Inventory management software allows the stores to manage their stocks based on fluctuating seasons. 
• It utilizes historical data to forecast the demand and supply of the garments. 
• Retailers can collaborate with suppliers to manage order quantities, schedules, and delivery timelines. 
• Also, the apparel inventory management software offers detailed sales analytics for different seasons. This helps the stores to understand their performance during multiple seasons. 

4. Order Fulfillment

• The cloud stock management solution automates order pickup, tracking, and packing. 
• It avoids stock outs or overstock by consistently ordering popular items before the entire stock is sold out. 
• It processes orders in batches to fulfill massive orders simultaneously. 
• It allows apparel stores to process and ship high-priority orders quickly. 

5. Refund Management 

• The inventory management software provides transparency between the customers and store personnel. It allows the customers to track their refund status and store personnel to monitor the entire process. 
• The software adjusts the inventory levels in real-time when a customer initiates the refund process. 
• The software can be configured according to the refund policies of a specific brand. It ensures that refunds are processed according to these policies. 
• Also, it helps the store owners to capture the refund reasons and analyze the product for better quality.

6. Accounting Process 

• The inventory management software eliminates the need to maintain physical records and manual data entry. It ensures accuracy and automates data entry tasks, saving time. 
• It generates précised financial reports by computing accurately the costs invested in raw textiles and the profit earned by selling the garments. 
• It also digitizes tax management by computing taxes paid, pending, and overdue. 
• It contributes to effective cash flow management by tracking expenses, inventory costs, and sales. 

7. Digitized Billing 

• Inventory management software encourages paperless invoicing and ensures timely billing. 
• It allows the store owners to share bills on text message, eMails, and WhatsApp avoiding the invoices being lost. 
• Also, the suppliers can send timely reminders, motivating the customers to pay bills on time. 
• The warehouse management application is well integrated with multiple payment gateways ranging from online payments to swiping cards. This offers flexibility to the customers ensuring exuberant customer experience. 

Benefits of Apparel Inventory Management 

1. It allows stakeholders to make business-driven decisions. 
2. It automates processes, saving cost and effort. 
3. It helps the designers to source better quality raw materials. 
4. It allows tracing down to whom and from where the material is bought from. 
5. It provides financial statements to manage cash flow and compliance. 

Let’s Conclude 

Hopefully, you have understood why your apparel store needs inventory management software. If you are looking for an efficient stock management solution, try Munim Now. For more queries, connect to our experts. 

FAQs

1. Why is apparel inventory management Software is important? 

The stock management software allows the clothing store to track, record, and update the availability of garments in real-time. It also digitizes billing and filters the products based on labels, tags, sizes, etc. This increases the operational efficiency and boosts growth. 

2. How to choose the right inventory management software? 

• Define your goals and objectives. 
• List down your requirements and pain points. 
• Research for available software in the market. 
• Shortlist the ones that suit all your needs and have low pricing. 
• Get in touch with their teams and finalize one for registration. 

3. Which software is recommended for inventory management? 

Munim is the most recommended software for managing your stocks and warehouse operations. 

4. Can I leverage Munim inventory management software for my clothing store? 

Yes, you can streamline all your store operations with us, from inventory and accounting to billing compliance.