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Navigating the intricacies of business supply purchasing and inventory management will be a constant challenge for business owners and operators. There are so many aspects to think about. For example, what are your “must-have” items and does that list change throughout the yr? Is it cheaper and easier to buy as needed or fill up for the next few months? Perhaps most significantly, what are you able to do to avoid wasting invaluable time when shopping?
These are some of the questions Walmart Business has been exploring with business owners and operators as a part of our mission to assist them save time, money and hassle when buying supplies. To that end, we recently commissioned research firm Morning Consult to survey 500 U.S. business owners and operators about their supply budgeting practices.
We learned that almost all owners and operators expect to increase their delivery budgets this yr. Interestingly, their purchasing decisions and preferences differ by generation.
Delivery budgets are rising across all sectors
Sixty-one percent of respondents plan to increase their delivery budgets this yr. That expectation rises to 78% among the youngest respondents (ages 18-34).
When asked about their investment plans for the coming yr, 58% of respondents identified technology (computers, audiovisual equipment, phones) as their most anticipated essential business products, followed by office supplies and furniture (41%) and facility maintenance (38%).
Technology purchases are an essential area of investment
A more in-depth look at technology purchases shows that a quarter of business owners and operators imagine that technological advances have a significant impact on their delivery budgets. That number rises to 37% for owners and operators aged 18-34. Furthermore, this age group plans to take a position in technology greater than any other over the next yr.
The anticipated growth in technology may signal a growing awareness among business owners and operators of the advantages every company (including yours) can gain by implementing technology to automate manual tasks and processes. As I explained in my last column, doing so can increase worker satisfaction, improve operational efficiency, and spur innovation.
While the basic business items they purchase may vary, most property owners and managers have one thing in common: they are very picky when making purchases.
Three priorities: quality, cost, convenience
Our survey found almost unanimous agreement among respondents that cost, quality, and convenience are the most vital aspects in their purchasing decisions and alternative of suppliers. Overall, 96% consider product quality and durability to be essential or very essential, and 93% consider cost to be an essential factor. As one respondent explained, “Brand is not that essential. Honestly, it is more essential [product] Is it good, reliable and profitable?
Striving for reliability and flexibility
We also desired to learn more about inventory management and our respondents’ approach to buying. After all, a company can’t make products or provide services if it doesn’t have what customers need when they need it.
Most owners and operators anticipate their supply needs at least a month in advance. In fact, 80% keep enough stock to last 1-3 months or more. Only 19% keep minimal stock and order supplies as needed, normally buying barely enough to last a few weeks or less.
More than a third (38%) of respondents said subscription services are a very essential or essential factor in their purchasing decisions. That’s why Walmart Business offers a subscription service that saves you time when reordering supplies your business must operate.
We understand that point is a precious commodity, so it was no surprise that 86% of respondents said that convenience of pickup and delivery played a key role in the vendor selection process. Walmart Business offers fast and flexible success options, allowing customers to decide on how, when and where they shop, including delivery and pickup from our greater than 4,000 Walmart stores nationwide.
For those preferring to buy in-store, Walmart Pay in the Walmart Business app provides access to your organization’s shared payment method and tax-free purchases (for eligible, registered organizations).
Strategic Supply Budget Management
Whether business owners and operators are planning to increase their budget for business supplies or not, we know they will approach their purchases with caution and consideration. They demand good quality, reasonable prices, and convenient delivery and pickup options. The most vital thing is to get the best value for your money and make the process as easy as possible.
At Walmart Business, we are committed to helping our customers achieve this goal. We offer solutions that simplify purchasing and inventory tracking, so they can spend more time running their businesses.