5 Retail Terms for Business Owners to Know About
Business owners have quite a lot to deal with when they’re running a company. This is especially true in the retail world, which can often be relatively confusing. A lot of this revolves around retail terms. While many of these can be obvious, others aren’t.
It’s easy to see why some new retail entrepreneurs can get a little overwhelmed by them. You don’t need to settle for that, though.
It’s just a matter of getting familiar with as many of these terms as possible. Some of these can be more important than others, which is why they’re worth getting familiar with first. Five of these could be worth paying particular attention to going forward.
ATS
Acronyms always come up in the business world, though many of them can be relatively obvious. ATS is one of the more confusing of these. It stands for average transaction size; the average a customer spends across multiple purchases. This can often be a key metric to focus on, especially when you’re dealing with product sales.
POS
A POS system is vital for retail stores to operate, but that doesn’t mean the term is instantly recognizable. Point of sale means what you’ll use when charging your customers. It lets you accept credit card payments seamlessly and easily. It’s always worth investing in. The more comprehensive your POS system, the better it’ll be for you and customers.
Brick and Click
Everyone’s heard of brick-and-mortar stores, but many people might be unfamiliar with brick and click stores. These are retail companies that combine their physical premises with their ecommerce counterpart. In many cases, this means letting customers online before collecting in person. It also makes returns easier for customers and helps with their experience.
Dead Stock
You’ll already know what your stock is. It’s the inventory of products you have. Dead stock, on the other hand, could be a relatively confusing retail term. It refers to the stock you have that simply isn’t selling. You could’ve had it for quite some time, but customers just aren’t buying it. Sales and promotions can often help with this.
Cross Merchandising
Companies that sell products across multiple categories would do well to invest in cross merchandising. This is the practice of displaying products of different categories together to help generate more sales. Usually, these products will be somewhat complementary of each other.
The retail world can often be a complicated one for many entrepreneurs. It’s easy to see why so many budding business owners can feel a little confused, and even stressed. This isn’t just because of all of the work that needs to be sorted out.
You’ll also need to consider the various retail terms you’ll need to be familiar with. Some of these could be a little confusing when you’re not sure of them.
By getting familiar with them as early as possible, you’ll avoid more than a bit of hassle. It’s worth looking into them as soon as possible. Once you are, you’ll have an easier time running your new retail store.
