Top Benefits of Using A Cafe Stocktaking Software

Do you keep tabs on your café stock levels? In order for a business to succeed in the highly competitive hospitality industry, it’s supposed to reduce wastage while maximizing profits.

Effective stocktaking is the key to running a profitable hospitality business. It involves the process of counting, checking, and recording stock levels. Although this process can be performed manually, almost all companies in this sector decide to go digital and use a software program for this purpose.

There is a variety of paperless inventory management systems, such as the DigiTally Cafe stocktaking software, which are scalable, affordable, and easy to use.

Have a look at some of the benefits of investing in such programs.

Substantial cost savings

One of the greatest benefits of using stocktaking software in cafes is the opportunity to gain significant cost savings. Many cafés experience profit loss due to insufficient inventory control. The majority of owners are aware of their high inventory expenses but fail to understand the reason for losing their money.

Nevertheless, by investing in stocktaking software, coffee shops are capable of maximizing their profits and identify the causes for their losses. Café owners receive real-time financial reporting, showing the exact places where losses occur and tips for preventing them in the future. Instead of losing large sums of money, your coffee bar can put these funds to better use.

Improved menu pricing

Another advantage of considering the introduction of stocktaking software is the possibility to improve menu pricing. A large number of cafés don’t update their menu prices in accordance with the increase in inventory costs. Anyhow, this sort of mistake can be easily fixed with the help of an inventory management system.

Moreover, this strategy is crucial for making adjustments to menu pricing based on data. Owners are able to optimize margin by separating their food and beverage margins, which leads to an improvement in gross profit margin by up to four per cent. By knowing your inventory costs, you can easily update the prices and eliminate any low-profit products.

Making better decisions

An incredible benefit of using stocktaking software for your business is the ability to make better ordering decisions. Many café owners order stock from suppliers just in case because of fearing the scenario to run out of products. Some end up over-ordering products, while others make the mistake of under-ordering goods.

An inventory management system helps hospitality businesses to optimize their orders and devise a plan for having the right stock amount at any time. Also, by keeping your inventory at optimal levels, you won’t have to deal with storage problems. If you order much more stock than you genuinely need, you’ll face difficulties in keeping storage areas neat and organized.

In addition, stocktaking software programs stimulate hospitality businesses to rethink some of their ordering decisions, as they’ll be able to identify trends. By gaining insight into which items are used regularly, you can make adjustments to the menu and keep all of your offerings relevant. See this page for some useful tips on controlling inventory.

Automation

Another valid reason for using stocktaking software is the automation of the stocktaking process. Even though some businesses still rely on manual inventory management, they’re definitely encouraged to go digital. The process of manual stocktaking involves using printed sheets, pen, and excel sheets. After writing down the stock amounts by hand, some managers have a tendency to transfer this data into Excel, which is terribly time-consuming.

Stocktaking software is believed to speed up the process of inventory counts by up to seventy per cent. Also, by eliminating paperwork, there is a much lower risk for human error. Accuracy is of great value, especially for large businesses, which require communication between departments. These programs are available on all android devices and enable users to enter purchases and sales easily.

How to choose the right software for your business needs?

Due to the speedy development of technology, nowadays, the choice of stocktaking software programs is indeed extensive. There are multiple points to consider when selecting the best program, such as the size of your business, the technical knowledge of the personnel, your software needs, extra functions, etc.

Furthermore, the program you opt for is supposed to match the size of your company and the number of operating locations. There is no point in investing in a system that fails to meet your requirements, only making things complicated. If your personnel isn’t exactly tech-savvy, you should select a user-friendly software program with excellent customer support.

Additionally, café owners are expected to evaluate their software needs before making a decision. Basic programs only perform stock level checks without offering detailed reports. Therefore, if you need such reports, make sure the system you select provides them.

Another popular feature that hospitality businesses look for in these programs is the app function. Nowadays, users can get these sorts of applications on their phones and tablets, which saves on time and increases convenience.

The consequences of poor stocktaking

Poor inventory management is likely to cause a variety of consequences, which can be avoided by choosing the right system. Some of the consequences include a hectic work environment, dissatisfied customers, over-ordering and under-ordering of products, excessive wastage, stressed personnel, poor profits, etc.

For instance, ordering too much stock or the wrong kind of stock means that many items will end up thrown away. This practice leads to another issue with packaging disposal, especially when it comes to plastic. Hence, any unnecessary deliveries are likely to result in a high carbon footprint. The efforts of hospitality industries to reduce waste increase the chances for a more sustainable industry future.

The implementation of an effective inventory management method ensures profits are maximized, losses are mitigated, and day-to-day operations run smoothly. Such a system relieves the burden off the shoulders of managers and reduces the amount of stress they experience on the job.