OTBW Results

Two Case Studies:  1.  Resort Golf Shop   2.  Boutique

 ΞΞ Spreadsheet        ΞΞ  OTBW

graph showing $35,000 increased profits using Open To Buy Wizard software.


1.  GOLF SHOP:  The chart above is the very first shop to use OTBW.  In 1999, they transitioned from a good spreadsheet to OTBW. At this ($500,000/Year) shop, the increased margins amount to ($25 - 40K/Year)!   Nothing else changed.  Same management, same buyer, same physical shop.  The chart ends when the buyer retired in 2006. 
Looked at another way - $25 -40K/year had been the annual COST of  the "free" spreadsheets they had been using before automation.
How much input time was required?  About 18 hours/year.   Was that time well spent?  
$36,000/18 hours = $2000/Hour. 

How can an inventory plan make such a large difference in gross margins? OTBW optimizes inventory in every classification and updates o-t-b calculations dynamically with every entry.  You never have too much or too little in any classification.  This reduces markdowns to minimum levels, which improves sales, profits, return on investment and every other measure of good retail management.  


Shop Report 2015

This Shop Owner plans her Turns at (5), COS at (45%) and aggressively marks down anything that has not sold in 60 days.  With a 628% GMROI she does not retain merchandise that is not moving.   Her other reports are just as impressive.  Actual is very close to Plan.  The OTB Report shows only very small Plus and Minus numbers because her Purchase Orders approximate the otb amounts on the report.  When she registered less than a year ago with OTBW, her Sales budget was $386K and it has since improved to $475K. Fresh, fast moving merchandise improves sales!  She makes an appointment with us every three months to review and improve her plan.  Achieving excellent shop results doesn't just happen.  It is a decision.  
(Golf Shops are similar but can conservatively plan (4) Turns with customized COGS)



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