Retail is the process of selling and distributing consumer goods and services through different distributing channels to earn profit. The distribution network covers from online sales through websites to physical distribution networks like shops, departmental stores. Supply chain management plays a vital role in stability and growth of a retailer business.
Retailing of a service or goods specifically refers to delivering small orders to large number of individuals rather than delivering large orders to small number of wholesalers. Food, clothing, software, medicines, minerals, soft drinks, drugs and almost every other product use retailing process until sold to end consumer.
There are numerous methods to deliver a product to end consumer e.g. counter service, click and commute, ship to store, delivery, door-to door sale self service, Digital delivery or download.
Competition, Pricing & marketing
Retailers and consumer businesses found difficult to keep up with the many changes facing their industry.
Especially high level of competition among market participants has caused low profit margins and continuous advancement in product design also resulting in constant threat of product obsolescence. Rising energy costs and consumer uncertainty have imposed pressure on many consumer businesses to re-evaluate marketing efforts and pricing structures in order to position themselves for sustainable growth.
Companies working in retail industry must react quickly in order to adapt to a continuously changing supply chain processes. As a result building good relationship with suppliers and vendors has become more essential business strategy than ever.
By applying strong accounting system you can ensure good relations both with supplier and customer by smooth process of payments and invoicing.
Restrictions Imposed by local government against “big-box” chain retailers and restrictions on foreign investment in retailer have imposed adverse effects to do business freely in the sector.
In view of these pressures we observed that margins in the industry have been squeezed, so the retailers need:
- Accurate, user targeted, reliable and timely reports to help sustain and grow profits
- Strong banking controls and cash management
- Improved stock control procedures
- Intense budgeting and forecasting
- More important Staff management, including Payroll and incentive management to ensure retention of skilled staff
Solutions by WeAccountax
Our retail industry accountants have extensive, industry-specific knowledge regarding complex tax and financial reporting along with regulatory requirements. By equipping leading edge expertise in the sector we help retail businesses manage risk, overcome obstacles, and achieve next phase of growth – even in the presence of such distinctive challenges.
Our retail clients benefit from the energy and command of the firm. We have talented and intellectually curious people who strive to attain success and encourage confidence in our clients, tailoring our solutions to their needs.
Our Accountancy Services For Retail Services: