An Open-To-Buy (OTB – Merchandize Buying) Plan
Critical to the survival and prosperity of your business is sound merchandise management. It’s not just another “paper exercise” — it can mean the difference between strong, positive cash flow and a constant battle to pay your bills. It can keep your operation profitable even in times of less-than-robust sales.
Merchandise planning, by saving you a lot of expense, can deliver profits to the bottom line. For example, if you’re currently keeping about Rs.30,000 tied up in inventory, and you discover that a carefully-monitored merchandise management (or “open-to-buy”) plan can cut that by 10 percent, you’ve just freed up Rs.3,000 in cash for more prudent investment. Chances are you have at least that much slack in your inventory right now.
Are you ready to bring that inventory into line?
| Size Chart – Garments | S | M | L | XL | XXL | XXXL | |
| Formal Shirt Full Sleeve | Qty | 2 | 3 | 4 | 4 | 3 | 2 |
| Size Chart – Shoes | 5 | 6 | 7 | 8 | 9 | 10 | |
| Running Shoe | Qty | 1 | 2 | 3 | 3 | 2 | 1 |
A sample size chart for Garment and FootwearThe essence of Merchandise Planning is to figure out how much of which item from which supplier at what time and at what price to buy? It also accounts for any shortfall or excess caused due to un-predicates sales hike or market crash due to some natural disaster.
The essence of Merchandise Planning is to figure out how much of which item from which supplier at what time and at what price to buy? It also accounts for any shortfall or excess caused due to un-predicates sales hike or market crash due to some natural disaster.
Your Merchandise Plan : To help you implement your merchandise management plan, see the chart mentioned at the top. Though making a plan takes time and effort, it pays off when you begin seeing your merchandise inflow closely matching your sales patterns.
A good merchandise plan improves your inventory turnover, cuts your inventory carrying costs, and helps you keep your inventory fresh — thereby cutting markdowns and closeouts. In short, it will help you make more money!
