Since the COVID-19 pandemic, the retail industry has experienced major shifts, especially in inventory management. Even now, those changes continue to shape the industry, pushing brands to explore innovative solutions to navigate a cautious retail market.
The pandemic’s impact on inventory management was profound, with many retailers facing unprecedented challenges. Pre-COVID, retailers typically allocated about 30% of their inventory for e-commerce, with the remainder destined for brick-and-mortar stores. However, when physical stores were forced to close and online sales surged, this model proved inadequate, leaving many retailers scrambling to meet demand.
As the dust settles, brands are focusing on rebuilding retailer confidence in inventory commitments. The lingering fear of overstocking, rooted in the pandemic’s unpredictable demand patterns, has made retailers more cautious about reordering.
To address these challenges, brands are finding success by empowering retailers with tools and strategies to drive sell-through. By investing in associate training and engagement, retailers have improved sales performance and achieved up to a 20% increase in inventory turnover – proof that a well-prepared team can make all the difference.
Alongside workforce empowerment, data-driven tools are helping brands and retailers make more innovative and responsive inventory decisions. Real-time insights into sales trends and stock levels allow retailers to reduce the risk of overstocking – while ensuring shelves are stocked with the products customers want.
These strategies contribute to a broader shift in retail inventory management, moving away from reactive approaches to more proactive and collaborative methods. Retailers who can align closely with their brand partners, leveraging shared insights and resources, are successfully navigating the complexities of today’s market.
Collaboration, continuous education, and data-driven strategies are becoming essential for navigating the post-pandemic retail landscape. Evidence of this is clear: companies with strong sales enablement programs see a 15% improvement in win rates compared to those without such initiatives.
The role of knowledgeable store associates is equally critical. Research shows that 79% of shoppers value informed associates, yet over 80% often feel they know more about the products than the staff they interact with. This highlights an urgent need for brands to prioritize training programs that equip retail staff with the skills and product knowledge needed to enhance customer experiences.
As we settle into 2025, the retail industry is embracing a “new normal.” The focus has shifted from lean inventory models to a balanced approach, including safety stock, to address potential shortages. Brands that combine strategies for driving sell-through, investing in associate training, and leveraging data-driven tools are not just adapting, they’re setting themselves apart in an increasingly cautious market.
ENDVR is a platform uniquely positioned to support brands in achieving this balanced approach. Combining data analytics with incentivized education for retail staff, ENDVR helps enable smarter inventory decisions and enhances in-store performance. With tools that turn insights into action, brands are aligning with their retail partners to keep shelves stocked with the right products and ensuring sales associates deliver outstanding customer experiences.
