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The wholesale distribution industry has been an enormous and integral part of the economy and the overall movement of goods for over a century. Recent changes have posed new challenges that threaten to disrupt that.

Luckily, these aren’t issues that can’t be resolved. Many solutions already exist to empower wholesale distribution companies to adapt and grow — business and inventory management software that gives powerful tools to businesses.

Those that can adapt to this changing market could even find themselves in a better position than before. But to do that, they must know what challenges they face — and how to address them.

Death Of The Middle Man

One of the benefits of technology to consumers and businesses has been cutting out the middle man in many transactions. It helps to keep costs down and sales streamlined.

Unfortunately, wholesale distributors have long held that particular “middle man” position in the supply chain. Retailers can now use wholesale marketplaces online to contact manufacturers directly, cutting you out of the loop

So while technology has caused this problem, it also provides the solution. You can use technology to provide services to retailers that they can’t get from a wholesale market place, such as vendor-managed inventory. This uses inventory management software to automate parts of distribution, saving retailers valuable time.

The retailer can set predetermined reorder points that automatically let you know when a certain item needs restocking. This gives them many benefits, such as never running out of stock, and gives you an advantage over online wholesale marketplaces.

Inventory Management Issues

Keeping accurate stock of what inventory is in your warehouses is something many struggle with. With high volumes of stock coming in and out, keeping inventory numbers accurate can be a challenge.

Inventory management software like Spire allows you to track goods in real-time. Changes are quickly uploaded to a database for anyone in the business to check.

Centralizing your inventory in an inventory management system also avoids any confusion or miscommunication stemming from having multiple databases. You will find these systems also allow you to forecast, giving you the ability to predict demand and keep stock levels realistic for their demand.

Keeping up with Growth

Almost 90% of businesses expect to grow each year, with many expecting to grow by up to 10%. As exciting as these numbers are, they also present an interesting challenge — how do you keep up with the demands of a growing business?

Here again, technology is the answer. An integrated business and inventory management software makes running a distribution company so much easier that you will be much equipped to focus on growth.

Is your wholesale distribution business struggling with the challenges of the modern world? Spire can give you all the tools you need to regain a competitive advantage and thrive.