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As a craft supply seller, you manage a wide range of products. Whether you sell online or in-store, staying on top of your inventory helps avoid overstocking, running out of items, and missing sales.
Good inventory tracking helps you stay on top of what’s in stock, know exactly when to reorder, and keep your products organized and up to date. This way, you can focus more on growing your business and less on scrambling to fill gaps in your inventory.
Here are six craft store inventory management best practices:
1. Categorize Products Clearly
Organize your inventory by setting up clear categories in your point of sale (POS) system. Break down your products by type, such as yarn, fabric, or tools. For better sorting, you can further group items by material, size, or color.
Use the system to label products by categories like “Yarn by Weight” or “Fabric by Material.” This makes it easy to track what’s in stock and quickly identify what you need to reorder.
With an organized inventory management system, you’ll have a clear view of your stock, making restocking decisions easier and reducing the chance of over-ordering or running out of popular items.
2. Use Inventory Management Software
Modern inventory management software keeps your stock organized and updated so you don’t have to rely on tedious and error-prone manual tracking. When you make a sale, your stock levels automatically adjust in real time. Automating this process means you always know what’s on hand.
The software’s reporting features let you see which items are selling quickly and which might be sitting too long. Set low stock alerts so you can reorder exactly when you need to, ensuring your most popular products are always available and ready for customers. You can even automate purchase orders so the system replenishes stock for you.
3. Regularly Perform Stock Audits
Regularly perform stock audits to keep your inventory accurate and avoid costly surprises. Comparing your actual stock with what’s recorded in your system helps catch issues like missing items, misplaced stock, or double-counting.
Schedule stock audits based on your needs — weekly, monthly, or by specific sections. Print out an updated checklist from your POS system, then manually count your inventory to see if anything is missing.
Barcode scanners make this process easier by allowing for faster and more accurate inventory tracking, reducing manual errors, and ensuring real-time updates. Use this process to take action on items that haven’t sold, reduce theft, and reorder fast sellers to simplify your workflow.
4. Monitor Sales Trends
Monitor sales trends for insights into which products are in high demand and when. For example, you may notice that seasonal items like holiday crafting kits or warm-toned fabrics see higher sales around fall or during the Christmas and Halloween seasons.
Your craft store POS system can generate detailed reports to help track these patterns and identify popular items like paints during summer for school projects or yarn in winter for cozy DIY projects.
With these reports, you can plan your craft businesses‘ inventory around upcoming trends and busy crafting times to keep the right products available when demand spikes.
5. Set Reorder Points
When creating a craft store inventory management system, set minimum stock levels. These reorder points automatically trigger restocking before you run out, avoiding lost sales. Consider supplier lead times, average daily sales, and seasonal spikes to find the correct number.
For example, if a popular yarn takes two weeks to arrive and you sell five skeins a day, set your reorder point at 100 skeins to cover the wait time and keep extra stock on hand. Use your store’s POS software to automate this process so you’re always ahead and never scrambling to restock.
6. Implement a First In, First Out (FIFO) Approach
The FIFO method is preferred for craft stores, where some materials and products may have a limited shelf life or could become outdated.
You’ll need to organize your storage areas to make it easier to sell older inventory first, reducing the chances of items becoming damaged or obsolete while sitting on shelves.
Arrange your stock so that older items are at the front of shelves or easily accessible. Train your staff to restock items behind existing stock rather than in front of it. This method works well for items like paints, glues, or anything with expiration dates, making sure they’re sold before losing quality or becoming unusable.
Implementing a FIFO inventory strategy is an easy way to maintain product quality while minimizing waste and reducing write-offs from unsold, outdated stock.
How Rain POS Can Streamline Inventory Management
Rain POS is built specifically for craft and hobby stores, making inventory management easier while improving the overall customer experience. Some features that make it an excellent choice for your store include:
- Real-time inventory updates: Rain POS syncs inventory across all sales channels — your store, online shop, or events like craft fairs — so your stock levels are accurate. This is ideal for craft stores with varied products like raw materials, tools, and finished items.
- Automated reorder alerts: The system helps you avoid stockouts by sending alerts when inventory runs low. You can set reorder points for different items so that popular products are always available without manually tracking every item.
- Detailed sales reporting: Rain POS provides comprehensive reporting tools that allow you to analyze sales by category, vendor, or product. This will help you identify top-selling items, slow movers, and seasonal trends. You can then order more of what customers love, increase sales, and plan ahead for busy seasons.
- Product categorization: Rain POS makes it easy to organize your inventory with customizable categories and tags. This is beneficial for craft stores that stock a wide variety of products, from fabrics and yarn to paints and tools. This categorization helps you quickly look up items for customers and restock shelves.
- Integrated e-commerce: One of the best features is the easy integration between your physical and online store. With this integration, your online inventory automatically updates with each sale in-store, and vice versa, so your stock levels are always accurate no matter where your customers shop.
Rain POS simplifies the complex inventory needs of craft stores, letting you focus more on your business and less on manual tasks. With its range of powerful features, it's a reliable solution for keeping your shop organized and running efficiently.
Demo Rain POS for Simpler Inventory Management
Make managing your craft store easier with a simple all-in-one system made just for craft retailers. It helps you keep track of your stock, handle orders, and run things smoothly every day, so you spend less time worrying about inventory and more time growing your business.
Rain POS provides real-time inventory updates, automated reorder alerts and detailed sales reports to help you stay ahead of demand. It tracks seasonal trends, organizes products by category, and maintains accurate stock levels across all channels.
Whether managing in-store or online inventory, Rain POS keeps everything in sync and helps you keep the right products in stock. Schedule a demo today!
