Product Pick: I Heart Guts

We love these award-winning plush organs and anatomy gifts by I Heart Guts! A selection of 47 different organ plushies make great post-op gifts, turning that struggle into a snuggle. Each adorable organ comes with a silly pun and a bit of info about the human body. Hospital staff love the cute colorful organ pins for some badge-reel bling. Best sellers include the uterus pin, heart pin and brain pin! Check out their hilarious organ socks, organ stickers, organ magnets, posters, kidney slippers and more. We love this line for hospital gift shops. Sure to get patients, staff, and families laughing. Because life takes guts. Visit their wholesale page or on Faire.

Take your displays to new heights, literally!

Ceiling-mounted vertical displays like swings are a terrific way to create interest in your shop. Not just for window displays, either.

Fill a low-traffic, dead zone or maximize space over a center-aisle table.

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Swings create a playful, fun display for kids and baby items.

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Suspend trays over a display table. Fill with plush, clothing, or pillows.

UPCOMING HOLIDAYS

When inventory actually decreases margins

We’re always talking about the importance of moving inventory. Your stockroom door should go only one way, out. Excess stock is now cited as a ‘major concern’ for up to 47% of retailers, following the supply chain shortage.

What’s the big deal?

Studies show the annual cost of holding excess inventory is around 30%.

It’s hard for retailers to survive right now, let alone be profitable. A previous track record of growth or high profits do not make merchants immune from the risks of failure and holding excess inventory.

British furniture brand MADE went public in 2021 with a valuation of £775 million. They were out of business in less than a year. The reason? Getting caught with massive inventory at just the wrong time.

Purchasing based on ‘instinct’ or inaccurate data will invariably lead to poor decision making, expensive overheads and poor cash flow.

Old inventory utilizes working capital to store that unnecessary stock.

• The costs to acquire, travel, freight, unpack, price, display are not being recouped. They are sitting in the stockeroom.
• Old inventory occupies shelf space needed for new inventory that actually sells.
• Merchandise goes out of style, no longer trends, or demand stops (e.g., facemasks). If you’re overrun and tied up with unpopular inventory, you’re less able to respond to market shifts.
• Tying up your budget in inventory means there’s less available for other line items like bills, salaries, or new products.

Successfully balancing inventory comes up a lot in our newsletter. It’s one of the most essential practices in retail. Yes, it’s that critical. 

What can you do?

Take a deep dive into your data. Look at trends over the last twelve months and identify which products will be a struggle to shift. Then look at ways to move specific stock as quickly as possible.

PRODUCT BUNDLES

Combine fast-moving items with slow-moving ones in discounted bundles. Use the excess items as free gifts for medical staff customers or when customers spend a certain amount. Offer BOGO or even 3-for-1 bundles.

FLASH SALES …at prices that are too good to be true.

Flash sales are a tried-and-tested way to shift excess stock fast – and still bring in some (albeit limited) revenue. The first step is to identify all slow-moving items. Then decide on your discounting strategy. It can work well to take a staggered approach over a number of weeks (for instance, offering 25% in week one, 50% in week two, 75% in week three).

It should be clear how integral inventory is to cash flow. High inventory usually equates to lower gross margin.

JUST-IN-TIME INVENTORY

Implementing a Just-in-Time (JIT) inventory system can be another effective way to avoid inventory overstocks. A JIT inventory system is a lean approach in which you order inventory as it is needed. It requires careful planning, close monitoring, skilled buyers, a clear understanding of your shop’s needs and customer demand and, finally, a strong relationships with suppliers for a reliable delivery schedule. You’ll need to also adjust orders as needed. But, they can also increase the risk of stockouts. To mitigate this risk, establish clear communication channels with suppliers and monitor inventory levels closely.

BALANCE & SCHEDULING

Work with reliable fulfillment partners and brands to time your inventory correctly, avoiding both delays or surplus. Follow time-based planning with built-in buffers for supply chain issues.

FRESH MARKETING

For you online ecommerce stores, revamp your product descriptions or add in some extra personalized content. Especially in categories like fashion and homeware where purchases are more emotive.

INVENTORY AUDITS

Regular inventory audits help identify discrepancies between physical inventory levels and recorded inventory. This can identify potential issues, such as overstocks, understocks, or inventory shrinkage due to theft or other factors. Get the guide How to Conduct a Physical Inventory

Gain additional insight from other shop managers in How to move out and reduce old inventory?

JANUARY 2024 NEWSLETTER: ISSUE #648
Did you miss last month’s articles, surveys, and discussions?

DISCUSSION

BADGE REELS

Does anyone have a recommendation for good quality badge pulls, that they don’t receive a lot of returns from defects? – Julie V. 12/11/23

Outside The Box. We only buy the ones that are not interchangeable. Great selection, Glitterific collection are best sellers for us. – Anne S

We use the same brands, but offer interchangeables. – Lori H

Outside the Box!!! Selection, interchangeable, pricing. Glitter badges are best sellers and staff loves all styles. – Terri D

I second this! They have a great heavy-duty interchangeable reels. I started with a small swappable selection and have now tripled the offerings. They have been so popular! Easy to reorder on their wholesale site which I always appreciate. – Holly V

Outside The Box, interchangeable and a small selection of fixed badges. – Andrea M

Outside The Box, we sell the interchangeable and carry the heavy duty reels. – Greg H

Wholeheartedly agree. We sell every sort from Outside the Box. Donna Bowden is the owner and she is awesome to work with. We have even had her design several badge buttons for us if she didn’t carry a particular design that we have had requests for in the past. – Angela Q

Outside the Box. We can’t keep the Sparkle and Shine displayer filled! – Katy S

Outside the Box. We sell the acrylic interchangeable badges. Our customers love to change out and buy seasonal badges. We buy the heavy duty reels. Also, sell the jelly fixed badges. – Lynne H

I also use Bonitas. A little pricier than Outside The Box, but good quality. – Brenda S

SOURCE: Hospital Gift Shops Facebook Group

♡ Connect. Share. Grow. ♡

CANDLES

Q. Where is everyone getting their candles these days? We have been carrying Village Candles for several years. They sell okay but I am wondering what other companies you may sell. Freight is just so high on candles and I am considering changing but wanted input from others. We are a 199 bed community hospital in rural North Carolina. There are few shopping options in our town other than Walmart. – Angela Q. 10/16/23

• We sell Tyler Candles and the Tyler wash. It was a big investment but has been sooo with it!! – Jenni D
• Here are a handful of candle brands that we either currently carry or have in the past. Some of these are on the higher price range of the category, but are well known and sell themselves. Capri Blue, Voluspa, Broken Top Co, Illume, Candelfy, Mixture, Archipelago, Paddywax, LAFCO. Hope this helps! – Jordan A
• Swan Creek has always been our favorite! – Lori H
• The Women’s Shoppe at Kennestone Hospital in Matietta sells the Bridgewater brand of candles and the fragrance Sweet Grace has been a big seller for us for the past several years. We also sell Votivo brand and the fragrances Red Current and Icy Blue Pine are big sellers in the Fall and Winter as well. Hope this helps. – Lynne H
• Swan Creek Candle Co. – Jenny T
• We just got these in and everyone loves them! Susan We did the prepack of 36! Six of each scent! Retail around $30! Crossroads Family of Companies – Heather P
• Thompson Candle Company – Brian Ali M
• Swan Creek has done great for us! – Lanie R
• Crossroads Candles – Jaci G
• Swan Creek & Candleberry (offers several free freight events throughout the year.) – Jen M
• Swan Creek and Candleberry are our best sellers! – Dawn S
• Swan Creek out of Ohio. Great quality vintage looking glass containers and the prices are fantastic for the quality. – Anne S
• We just brought Woodwick back this fall. They used to be huge sellers for us years ago, before Yankee Candle bought them and nearly destroyed the brand. They were selling to discounters, etc., but my rep is telling me they are pulling back from that and now focusing on the gift shop market again. Enesco is representing them. So, I took a chance. Hope I don’t regret it! We also do well with Swan Creek, Candle Cottage Duo candles. We have very price-conscious customers who will buy online in a heartbeat, so we have to keep our selection fresh and new to keep their interest. – Melinda S

SOURCE: Hospital Gift Shops Facebook Group