Posted September 2, 2016 by Rashmi D @ 12:33 pm
What do you usually do when business inventory for a certain product outsizes or outlives demand, hype and marketing?
Excess, unsellable inventory and the inability to deal with such a problem can be a sliding slope towards lowered profits and bankruptcy. Especially in the online business world where a business can be ruined overnight with bad business decisions.
When you see a store with an inventory sale or flash sale with items selling at deep discounts they are trying to dump excess inventory to make more room for new goods that will hopefully sell better.
Businesses that perfect such fire sale practices are doing sluggish business at best and delaying the inevitable, bankruptcy, at worst.
As a businessperson you need to know the market, the rules and prices of the market, how to sell on the market and who you should be selling to.
You give all of that up and lose money too if you are habitually holding inventory sales, ruing lost profits and hoping that the new incoming inventory will sell. Such a mindset is a cycle of self-defeatism and an assured road to ruin.
It is also a prime example of 20 th century business thinking. 21 st century businesspeople keep track of inventory, the demographics of who will buy such and prices are digitally kept market current so that inventory can be sold at market prices.
That is the power of supply side platform software usage. Supply side platform software is a way for businesses to keep track of and sell inventory via online automation and social media tracking.
Based on where consumers shop online, supply side platform software can initiate tracking and connection software that can target potential buyers online, track them, match them with unsold inventory and market the unsold inventory at market prices. That last bit is better than desperately selling off inventory at deep discounts for meager or no profits. Supply side platform software isn’t only just useful for online-only businesses. Brick and mortar businesses have been known to use supply side platform software to move out inventory that human workers couldn’t sell.
Supply side platform advertising can also allow you to sell advertising in an automated fashion. If you know your business and who to work with and who your demographic is, this, may be a very efficient way to do business. The technology is fairly new, but the rules of doing business from the past no longer apply. A lot of businesses fail because they do not take into account the possibilities of potential. From over-ambitious, media hyped start-ups to the reliable, stand-by businesses that have been operating for years.
The rules of doing business can change overnight. The tastes and preferences of customers can be fickle and unpredictable. A marketing strategy can fail.
It is important to take every online business and analytical advantage possible. The requisite tools and knowhow necessary for doing business in the digital age grows in number and becomes a little bit more complicated to do every day.
Don’t fear failure. All you can do is learn from it and grow from it.