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Reasons Behind The Growing Demand For Distribution POS Software Systems

Posted by: Amogh Balaji
Reasons Behind The Growing Demand For Distribution POS Software Systems

The ultimate objective of the retail industry is to sell services and products to end consumers. To consistently fulfill this objective, retail stores must have sufficient inventory. The amount of stock they have is directly dependent on their distributors. And what bridges these two entities – retailers and distributors together, is the supply chain.

The more efficient the distribution operations are, the smoother the retail activities will be. Distributors need to ensure efficient warehousing, materials handling, packaging, inventory management, order processing, and logistics. Only then can end retailers sell goods without any interruptions.

Spreadsheet software and paper-based methods are some of the most common go-to tools for distributors. They aid in managing daily distribution tasks. Today, distribution POS software systems are quickly replacing those tools. There are several reasons why. In this article, we will discuss the reasons behind the growing demand for distribution POS software applications. Let’s get started.

Limitations of using manual tools for managing distribution operations

The caveats of manual distribution management methods are the main reasons for the rising demand for distribution POS applications. Let’s go over each of them in detail.

Shoddy inventory management

Maintaining good inventory levels enables distributors to meet the order requests of retailers. Facilitating it calls for effective inventory management, and manual tools make it a cumbersome task. They require constant human intervention and input. The distribution company’s employees need to physically take stock of what is available and unavailable in the inventory. All of this is both time-consuming and opens up room for errors.

Poor order tracking visibility

Knowing the stage at which orders are in allows distributors to make the right decisions. Packaging and dispatch are some of the stages. Manual tools require distribution staff to track orders. It delays updates as the information needs to sync up with multiple software applications in different systems.

Inaccurate quotations, invoicing

New retailers request quotations for goods before signing up with a new distributor. During this time, distributors need to retrieve accurate pricing lists. On securing an order, they will also have to print and issue retailers invoices. The problem with performing this manually is the errors that can occur. And any discrepancies in quotations or invoices hampers the credibility and prospects of distributors.

Lack of insights

Another limitation of using manual tools to manage distribution operations is the lack of insights. Manually generating reports from various touchpoints is a daunting task. Not having business insights causes distributors to be unprepared for sudden changes in market demands.

How wholesale POS systems are superior to manual management tools

POS software solutions for distributors are game-changers in the retail industry. They centralize all distribution activities into a single powerhouse of an application. Whether distributors need to manage CRM, inventory, sales, email invoices, or any other, a POS system can handle it all with precision and speed. Here’s how POS management systems for distributors simplify distribution operations.

With a POS solution, distributors will know how much stock they have in their inventories at all times. The software keeps track of incoming and outgoing stocks. According to that, the application updates stock numbers immediately and syncs the data across all systems. Furthermore, barcode scanners are compatible with POS systems. This integration further eases the process of tracking inventory.

When it comes to tracking orders, a POS solution for the distribution industry automatically logs goods at each step of the dispatch process. This eliminates the need for human intervention. It results in faster and accurate order tracking data.

Invoicing and generating quotations are also automated by POS software. Following requests for the pricing list and purchase of goods, the software automatically generates invoices and quotations. Besides printing invoices, distributors can opt to send them via SMS and e-mail.

Finally, POS applications gather valuable business data at various points of financial transactions. They then consolidate and process this data to unveil trends and meaningful insights. These reports enable distributors to plan for adverse changes in product demand well ahead of time.

Summing up

There you have it. Those are the reasons behind the growing demand for distribution wholesale POS software applications. Are you looking to simplify and accelerate your distribution operations? Then SmartPOS is the best solution for you. It streamlines all your distribution activities, curbs unnecessary costs, and unlocks brand-new opportunities. Reach out to us to get a live demo of SmartPOS today.

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