welcome! presenters: brad pinneke and paul erickson

Welcome!Welcome!

Presenters: Brad Pinneke and

Paul Erickson

Major Topics To Be Covered In This Presentation

• Perfect Condition

• Inaccurate Planning

• What is Open-to-Buy?

• Forecasting and Planning

• Benefits of Open-to-Buy

Open to Buy

Open to Buy

Perfect Condition

• This Month’s Sales Forecast is 12 Pens

• How Many Do We Need?

• What If They Come in 12 Colors?

• How Many Do We Need Now?

• What If They Come in 2 Lengths?

Perfect Condition

Open to Buy

Open to Buy

Definition: A Financial Budget for Retail Merchandise

• First Step to Better Control of Inventory

• Provides Guidance on How Much to Buy

• Creates Benchmarks on Evaluating Progress

• Financial Tool

• Units of Measure = Dollars

• Works at Any Level

Open to Buy

Retailers that Benefit Most from Open-to-Buy

• Apparel, Shoe, Outdoor, Gift, Jewelry, Toy, Sporting

Goods, Bike, and more

• Any Retailer that Carries Perishable and/or Seasonal

Inventory

• Any Retailer that Must Commit $ to Inventory in

Advance of the Season

Open to Buy

Open to Buy Ingredients

• At Store Classification Level

• Sales

• Inventory Levels

• Receipts

• Markdown Budget

A Dynamic Profit Plan

Open to Buy

Open to Buy

Forecasting and Planning – At Classification Level

• Analyzes and Modifies Store / Classification Sales

Patterns and Markdown Data 6-12 Months in Future

• Builds Ideal Merchandising Patterns

• Identifies Profitable Trends by Classification

• Forecasts Ideal Inventory Levels

• Automatically Corrects for Timing of Receipts and

Out-of-Stock Inventory

• Recommends Open-to-Buy Based on Current Trends

Forecasting and Planning

Open to Buy

Open to Buy Benefits

• Faster Turnover = Less Money Tied Up in Inventory

• Higher Profit Margins = Reduced Cost of Goods Sold

• Increased Return on Inventory Investment = Increased

Inventory Productivity

• Maximize Sales = Constantly Looking for Opportunity

and Potential

Benefits

1450 Iowa Avenue | Riverside, CA 92507

(800) 727-7672 ext 0

Visit us at www.rmsa.com oremail us at info@rmsa.com