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By: In: ApparelWarehouseOS On: Feb 08, 2019

Managing SKU Proliferation In The Apparel Industry

Photo by Brooke Winters on Unsplash

Unlike some industries with fixed product inventory, SKU proliferation can be a problem in the constantly-changing apparel industry. Consumers have a perpetual appetite for fresh, new clothing designs, and the changing seasons can add to that hunger. This can push business owners to feed their consumers’ hunger with innovative new products, but it can also put them in a pickle. Thankfully, there are ways to manage SKU proliferation, but there are also issues you’ll want to avoid. Are you experiencing any of these? Let us know, and we can help.

 

Downsides of SKU Proliferation

Raymond Cocozza from ConveyCo lists some downsides of SKU proliferation to be aware of. These include:

  • Increased Order Cycle Time – More SKUs can make it more difficult to find, pick, pack and ship products if proper systems and technology are not put in place.
  • Decreased Accuracy – As stated above, without the right systems in place, more SKUs can lead to confusion and to mis-ships. Don’t send the wrong product to the wrong customer!
  • Increased Facility Costs – More SKUs means less space to store them. If you run out of space, you may need to purchase added space to expand to, and that can be costly.
  • Trapped Capital – With styles and demands of customers changing frequently, there’s a chance some SKUs get stuck on the shelves. They then take up space that you need for new inventory.

 

How to Properly Manage Your SKUs

There are ways to push back on these downsides and manage your SKU proliferation. One of the best solutions is having an inventory management system. Whether you have one or not, if the way you’re working is stressing you out, it’s worth looking into other options. Without up-to-date technologies, SKU management can be challenging and even detrimental to your business.

Automated inventory management systems, like WarehouseOS, can correct the negative effects of the SKU proliferation by making the management of your warehouse easier, faster and more accurate.

The WarehouseOS software keeps track of inventory electronically from the moment products are received until the time they are shipped. So, you always know where to find the right product for your customer and you’ll know where to put your best-sellers.

Margins can be thin in the apparel industry. Don’t let SKU proliferation be one of the problems that sets you back. Find the right inventory management system for you.

Learn more about WarehouseOS or schedule a free demo by calling us at 801-938-7282 or visit our apparel page.