February 19, 2005

Tech as a Revenue Enhancing Tool

"If a shopper can't find the right size and color of five-pocket jeans on a store's shelves, the retailer will ship them to the customer's home at no extra charge within five days. Otherwise, they're free."

This is the promise that clothing retailer Casual Male is now (or soon will be) able to make to its customers because of the use of technology in improving its supply chain/inventory management system reports eWeek.

With 400 stores in 44 stores this $429 million retailer is MUCH bigger than your business but the principles are the same - leveraging technology as a tool to grow your business.

eWeek writes All these technology efforts are intended to do one thing, "serve the customer", says Casual Male's Dennis Hernreich, executive VP, chief operating office and CFO, "We want to impress upon our customers that they can expect consistency when they come into our store."

Staples and other retailers are doing this also, reports eWeek and writes Few retailers guarantee that goods will be in stock on a regular basis. Staples Inc. has an in-stock guarantee, but only for fast-selling ink-jet and toner cartridges, which the office-products retailer heavily stocks, says Paul Gaffney, executive VP of supply chain. Staples promises those items will be available, or they will be shipped to the customer with no shipping fee the next day, along with a $10 coupon for the same product.

Next I'll have three case studies for your of small businesses that have used technology, similar to Casual Male, and are GROWING.

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