7 Outstanding Inventory Organization Ideas You May Miss ConnectPOS Content Creator September 24, 2023

7 Outstanding Inventory Organization Ideas You May Miss

Inventory Organization Ideas

Effective inventory management is a vital factor for growing a company since it can make or break your business. In other words, inventory always plays an important role in every retail process since it crucially supports businesses in maintaining an adequate facility. In addition to adopting innovative technologies, retailers are suggested to utilize inventory organization ideas for increases in revenue.

In order to assist modern retail businesses in managing inventory, we would like to introduce some outstanding inventory organization ideas in this article.

Use labels to separate the products

One of the best ways for retailers to keep their inventory organized and efficient is to use product labels and photos. By labeling their products and work zone, retailers can ensure that their organization system is easy to follow and maintain over time. 

Product labels and photos can help staff quickly locate and identify individual or group products, reducing the time and effort spent on searching for items. This can also improve customer satisfaction, as staff can provide faster and more accurate service. Plus, doing so helps retailers track their inventory levels and avoid overstocking or running out of products.

According to a study, 73% of retailers plan to use product labels and photos for inventory management. Thus, using them is not only a simple way but also a smart approach for retailers to optimize their inventory organization.

Properly design warehouse layout

One of the key aspects of running a successful retail business is to design the warehouse layout properly. A well-designed layout can not only ensure the safety of the employees but also improve the efficiency of the workflow. This can be achieved by following certain principles and orders of operations that suit the specific needs of the business. 

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For example, a warehouse layout should consider the frequency and volume of incoming and outgoing shipments, the types and sizes of products, the storage and handling equipment, and the available space and budget. A good warehouse layout can also reduce the travel time and distance for workers, minimize errors and damages, and increase customer satisfaction. 

A study by Tompkins International reveals that a well-designed warehouse layout can improve productivity by up to 20% and reduce operating costs by up to 10%. Designing inventory well is, therefore, a crucial step for retailers who want to optimize their process flow and achieve their business goals.

Classify inventory

One of the best inventory organization ideas is to classify your inventory appropriately. This means categorizing your inventory based on different factors or criteria that are relevant for your business. 

For instance, you can use the ABC classification method, which is based on the profitability or value of each item. Here, you can divide your inventory into three groups: A, B, and C. Group A consists of 20% of SKUs contributing to 80% of revenue. Group B consists of the 30% of SKUs that contribute to 15% of revenue. And group C consists of 50% of SKUs that contribute to 5% of revenue. 

By using this method, you prioritize your inventory control and replenishment strategies for the most valuable items. Alternatively, consider categorizing your inventory by location or item type, which can help you keep track of where each item is stored and how much stock you have in each location.

Keep aisles clear

One of the key aspects of inventory organization for retail stores is to keep aisles clear and spacious. This allows customers to browse and shop comfortably, without feeling overwhelmed by cluttered shelves or crowded spaces. Clear aisles also make it easier for staff to find and retrieve products quickly, which improves customer service and satisfaction. Moreover, this helps reduce the risk of accidents and injuries, both for customers and employees.

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According to Shopify, retailers should operate with minimal inventory on the shop floor and keep the bulk of their inventory in the stockroom. This creates a sense of scarcity and urgency among shoppers and opens the door for more engagement and conversation with staff. However, this also means that the stockroom should be well-organized and accessible so that staff can locate and replenish products efficiently.

Integrate an inventory management system

In the modern market, retail businesses can easily adopt a suitable inventory management in order to solve potential problems of manual inventory management. With an inventory management software application, all of the items’ information can be kept track of in a well-arranged and efficient way.

ConnectPOS is one of the leading solutions offering retail businesses a technologically advanced inventory management system. By adopting ConnectPOS, retailers are able to synchronize inventory data across warehouses and stores in real-time and easily track your stock.

Maximize inventory space

One of the greatest inventory organization ideas is to get rid of outdated or excess inventory that takes up valuable room and prevents new orders from coming in. By using efficient warehouse storage techniques, retail businesses can save money on holding costs, avoid inventory obsolescence and increase profitability with better inventory turnover. 

NetSuite shares that some of the best practices for inventory management include setting par levels, using the ABC method, and conducting regular audits. These methods can help you keep track of your inventory levels, prioritize your stock and ensure accuracy.

Beware of the seasonal products

Seasonal products are goods that have a higher demand during certain periods of the year. For retailers, ordering these items can be a way to prepare for upcoming holidays and events. However, seasonal products also pose some challenges for inventory management. They can take up a lot of space in the warehouse, increase storage costs, and become obsolete after the season ends. 

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That’s why you need to carefully analyze market demand before placing any order for seasonal products. Businesses can use data from their inventory management system, historical sales, and external factors to forecast seasonal demand and optimize their inventory levels. By doing so, they can avoid overstocking or understocking seasonal products and improve their profitability and customer satisfaction.


As mentioned before, a well-organized inventory can contribute to your business development. Consequently, you should consider picking one of the above ideas to reorganize your inventory as well as adopting a powerful inventory management system.

ConnectPOS is a leading POS software that has been supporting various worldwide retailers with excellent features and great customer services. Also, we offer a 14-day free trial for any businesses that are paying attention to the outstanding solution.So, contactus now to experience our globally standard POS solution!

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