Mark Alan Howard AdobeStock_336748646
Many retailers are struggling to keep shelves stocked, customers satisfied, and operations fully staffed as a result of tariff turmoil, as outlined in GreyOrange’s Eye on Inventory report.
“We see lots of managers operating with false confidence in their inventory visibility,” says Troy Siwek, general manager, gStore by GreyOrange. “They underestimate how often products go missing on the sales floor because they don’t always hear about it. A customer might not ask for help if an item isn’t where it should be. Most of the time, they’ll just walk out.”
Key takeaways:
- 76% of store managers have seen an increase in stockouts or empty shelves.
- Nearly six in 10 (59%) say it’s become harder to keep stock replenished.
- 78% have noticed customers shopping early (such as for back-to-school season or the holidays) or in larger quantities to mitigate potential shortages or price hikes.
- Retailers are 2.1 times more likely to say customers are spending less than to say they’re spending more.
- About half the managers in the survey have been warned by corporate to expect price increases (50%) or shipping delays or reduced inventory (47%) due to tariffs.
- One in four retail managers (24%) can’t find stock that their system says is on-hand at least once a day. 63% run into this problem at least once a week.
- About half (51%) of store managers have reduced their workforce in the last six months.
- Of those, 59% have laid off staff because of budget cuts; 42% because of low sales.
- 36% have skipped or delayed daily store tasks because they’ve lacked the workers to complete them.
- Nearly half (47%) say they’re more confident than last year about holiday stock availability, compared to 20% who feel less confident. However, this certainty varies by their proximity to on-the-ground store operations. Senior managers (55%) are more likely to feel assured about holiday stock than middle managers (42%), who are more exposed to the day-to-day realities of inventory problems.
