The Guide to Finding Magento Developers: Salaries & Best Places

According to the average Magento developer’s hourly rate in the US is $44.49. These figures are approximate and will vary depending on the specialist’s experience, seniority, location, and other factors.

If you are looking for a top-quality product, however, don’t expect to pay low prices.

We’ll be covering the following points in this blog post:

  • Here is a list of Magento developers who are available to help you with your eCommerce project.
  • Benefits and reasons to work with Magento eCommerce certified developers
  • There are many cooperation models you have the option to choose from
  • A market overview for Magento development
  • Hourly salary for Magento developer
  • Guidelines for finding a Magento developer

Are you ready? Continue reading.

What Magento Experts are You Looking for?


You need more than hiring Magento developers to deliver a large-scale Magento project for eCommerce businesses. A team of dedicated specialists is also required. This is a list with Magento experts that you can hire for your online shop:

  • eCommerce web design to create the visual elements of your online shop. Web designers design the layout and appearance of the website. They also choose the elements that will be displayed on the page, and how customers interact with it.
  • Front-end Magento 2 Developer to make your online store visible and attractive on all devices. Front-end developers are responsible for accurately communicating the design and implementing user logic.
  • Backend Magento 2 developer for developing and maintaining the server side to your online store. This expert ensures that the site works and fulfills its purpose, while also ensuring security and reliability.
  • Quality Assurance Engineer To identify and fix any errors in the code and to prevent them from interfering with customer experience and website operation.
  • Project Manager to coordinate and prioritise team activities and assume responsibility for project goals.
  • Magento Architect can design your online store starting from the technical side. Magento Architect identifies the best solutions and Magento eCommerce developers bring that technical idea to life.

Magento Certifications and What They Mean


If you have any health concerns, it is a good idea to trust a trusted healthcare provider. Your business should be treated in the same way. It is not a good idea to trust the development of your online shop to people whose expertise you don’t know. You must be able to recognize the following types of Magento certifications from your chosen provider:

  • Adobe Certified Professional

A minimum of 0-12 month of experience and learning is required to become an Adobe Professional.

  • Adobe Certified Expert

At least one to three years’ experience is required for this certification. Adobe Certified Experts can manage complex projects on their own or mentor less-skilled developers.

  • Adobe Certified Master

Adobe Master certification requires at least 3 years experience in managing complex projects and mentoring others.

The following are the benefits of working with certified Magento developers:

  • Get guaranteed results. Magento specialists holding one of these certifications will build an eCommerce website that is both efficient and meets your business’s exact requirements.
  • They use the most effective Magento development practices. Working with certified developers will ensure that your code is compliant with the Magento standards and best practices. This will help to ensure the security, quality, and scalability of your online store.
  • They are experts in the platform. A certification exam is required to become a specialist in Magento. This means that a developer can use their knowledge to create a powerful, clean and fast website and address any urgent issues such as a site going down or bug.

They are always up-to-date on the latest Magento updates. Magento developers who are certified have access to the latest Magento features and updates. These features and updates are not available to non-partner development agencies or the general public. Developers already know how to use new features when they roll out.

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Key Collaboration Models for Magento eCommerce Developers


There are three options available for you to choose from when it comes to staffing your eCommerce project.

  • A team of in-house developers
  • A development agency
  • Freelance Magento developers

Let’s look at these options, and compare the pros and cons so that you can decide which one best suits your needs.

Magento 2 developers in-house

In-house team cooperation means that you can hire developers to work on your long-term project at your company’s premises. This option requires that you pay developers a monthly salary and not an hourly rate while they work on your project.


This model allows you to take complete control of the project, and communicate with your team members daily to make sure everything runs smoothly. A dedicated team of people working on your project is a time saver. They can quickly solve problems and give updates.


It can be difficult to hire Magento developers as the majority of experienced professionals work in large development agencies. It will be expensive if you are able to attract a high-ranking specialist. You’ll also have to continue paying a monthly salary each member of your team, even if they have no work for you. You might not be able to assess the skills of a developer.

There are many unnecessary bureaucracy that can be a disadvantage to hiring an in-house staff. You will also need to cover overhead costs such as office rent, taxes on employment, and equipment purchases, among others.

Magento development company

If you are looking for a group of professionals with extensive experience in different industries, a development agency is the best option. This cooperation model allows you to have a team of professionals who can handle your project from start to finish.


Magento developers agencies employ credentialed Magento specialists. This means that they are well-versed in the latest Magento updates and can resolve any problems quickly. A project manager coordinates the work of each stage of your eCommerce project for development companies.

Magento development agencies are also great because they can help with your initial ideas and offer support and maintenance for your online store after the project is complete.

Focus on what you are good at and outsource the rest.
Peter Drucker, Management consultant and educator.


You should realize that you won’t be the only client if you decide to work with a development company. You can still get the same dedication and commitment as an in-house team if you work with professionals. You can still be involved in the project, even if you are working with an offshore Magento development company. You can stay connected with your team and discuss any tasks or ideas via online meetings.

Agencies are highly focused on working with clients to achieve the desired result in the shortest amount of time. This means that they charge a higher price for their services. This investment will ensure that you get the best result possible and win long-term.

Magento freelance developers

Freelancers, who are specialists working on a project-based basis, are self-employed. They are usually short-term specialists who work on a project basis and have fewer deliverables. Sometimes, freelance Magento developers need to be supervised and guided by clients.


Freelancers do not have overhead costs as development agencies do. Therefore, hourly rates for freelance developers are often low. You can also choose the most affordable Magento development service for your needs. You can lower your project budget by hiring freelancers from different places.


First, be aware that freelancers may not be your only client. Communication delays can result from this. Freelancers will not be as committed to your project as an in-house or outsource team.

They could ask for a prepayment and then disappear without providing any results. They can also start working on the project, but then simply give up and leave it to others. You’ll have to spend lots of time looking for a new provider. Low hourly rates for freelance developers are not a way to save money.

Working with freelance developers can pose security risks. They could intentionally or unintentionally disclose sensitive data to interested parties or use third-party code to speed up development. Working with Magento freelance developers is fraught with risks.

Below is an illustration that illustrates key differences among the three main models of cooperation.


The table shows that working with a Magento agency can bring you the greatest benefits. When making your decision, it is important to consider your specific business needs. The final development cost will depend on the type of cooperation you choose. The lowest rate won’t guarantee that you will get the desired result. A larger initial investment can lead to long-term savings and be more cost-effective.

Hourly Salary for Magento Developer

The hourly rate of a Magento developer’s salary varies depending on their skills, whereabouts, and certifications. Different websites offer different information about Magento eCommerce developers’ salaries. reports a developer’s hourly rate at $56.44 an hour., however, shows a developer’s hourly rate of $44.49 in the US. A highly skilled developer may charge $200 an hour.

Let’s take a look at the hourly salary of a Magento developer in the most popular areas.

You’ll pay three to four times more for Magento development services in the US and Canada than you would in Europe. These countries have hourly rates for freelance developers starting at $150, and climbing up to $200. The hourly rate in Europe will vary between $50 and $99, with the average price being between $50 and $99 The lowest hourly salary for Magento developers is in Asia, where it’s $15-40 per hour. Latin America, where you’ll get $25-50 per hour and South Africa, which will cost $20-40 per hour.


Hivemind study found that Magento is Europe’s leading eCommerce platform with a 24.6% market share. This means that Europe has a large pool of Magento experts . Many US-based Magento companies employ them to help with their eCommerce projects.

Apart from the lower salaries of Magento developers, there are many other benefits to working with an agency with European developers. These benefits are:

  1. There are no communication barriers. All European IT companies require at least a intermediate level of English proficiency for developers. This means that communication will be seamless.
  2. Magento experts with deep knowledge. They are able to deliver top-quality services.
  3. Favorable time differences. Communication will be faster because time zone differences aren’t as significant as in other countries.
  4. Low prices. You can have a guarantee without having to compromise the quality of your final product.

No cultural differences. You can eliminate the cultural gap by hiring European developers. This will make it easier to communicate with your business and improve the effectiveness of the work process.

Do you need a project estimate?
GoMage offers a free estimate for your Magento project.
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Where can I find Magento 2 developers?


We’ve covered key factors when choosing Magento 2 developers. Now it’s time for us to give you a list of resources to help you find the right people to work on your eCommerce project. There are many options, including B2B rating sites like Clutch and GoodFirms. Wadline is another popular option. You can also find specialists through international freelance marketplaces such as Upwork or word-of mouth marketing. Let’s take a deeper look at each option.

Rating platforms for B2B

Such independent B2B rating platforms like Clutch, GoodFirms, Wadline, etc. A list of the top software companies with information about the company, its portfolio and verified customer reviews.

These platforms work in a similar way to professional social networks. Companies create their own profiles and include as much information as they can about themselves: year of establishment, location and number of employees. This information is then verified.


Upwork is one the most used online job-search platforms. It provides contract protection for developers and clients, and it helps to build relationships. The platform will provide a list with developers that match your job description after you have submitted a job request. This platform is a very popular one for freelance Magento developers. There are many options.

Lastly, the basic membership plan does not require additional fees for posting jobs to search specialists. It is important to remember that the website charges an additional fee for any work done through its platform. This is particularly true when you start working relationships.


The best way to find specialists for your project is word-of-mouth. Ask your friends and associates for recommendations on Magento developers and agencies. Trust is the most important thing.

Adobe Solution Partner Directory

We recommend you select a trusted Magento partner agency to ensure that you have the best possible development team for your eCommerce projects. Adobe Solution Partner Directory lists the top companies that can help clients create online stores using the Magento platform.

A Magento Solution Partner means that a company can be certain that its employees have the right skills and training to deliver a result that meets all your business requirements. GoMage, for example, is a Magento Solution Partner with more than 11 years of Magento experience and over 1000 successful eCommerce projects.


How to choose the best Magento developers

It can be difficult to find a Magento developer team that is reliable due to the many aspects you should consider when choosing a vendor. Your choice will impact how much time and money it takes to build an online store. Your choice will also have a long-term impact on your eCommerce project. This 3-step guide will help you choose the best Magento developers for your company.

  1. Identify your initial requirements to ensure that you get the results you want.
  2. Search for a reliable service provider by looking at the vendor’s portfolio, reviews, expertise, portfolio, and ratings on Clutch and GoodFirms.
  3. Sign an agreement and get started working with the Magento 2 development firm to propel your eCommerce business.
source source

Extension Subscriptions in the Application Marketplace for Adobe Commerce & Mage Open Source


Adobe is committed to empowering the developer ecosystem to create superior experiences and services for all customers. We are pleased to announce support for extensions subscription models, starting November 30, 2021. This will allow us to further serve developers and customers of Adobe Commerce and Magento OpenSource. Developers can provide ongoing support and investments in established products to give merchants greater security and lower maintenance costs.

Multiple extension vendors have moved to the subscription model as the market for ecommerce software continues to embrace a subscription licensing structure. Numerous prominent software marketplaces and ecosystems only operate under the subscription model. Numerous Magento extension builders, including Amasty and Mageplaza, Aheadworks and Mirasvit have announced that they will be switching to an annual subscription model. Most extension vendors will soon announce or implement similar changes based on community feedback.

Adobe Commerce Marketplace subscription licenses do not limit the use of code already downloaded and installed on merchants’ computers. An active subscription is required in order to receive upgrades, support, or any other services or features that the vendor may provide as part of the license. Merchants have the option to cancel their subscription at any moment.

Subscription license extensions will include basic support in the subscription price. The Marketplace does not support multiple subscription tiers nor subscription add-ons at the time of release. However, we plan to expand this and other features in future releases.

Existing SKUs cannot be converted to subscription license. Merchants will not automatically be subscribed to products that move to the subscription licence. Vendors may opt to remove some of their Marketplace SKUs and create new products under the subscription license. This will allow merchants to consent to the purchase of the subscription. Extensions under the subscription license must comply with the same Marketplace requirements and EQP requirements.

Marketplace and Commerce Developer Portal will enable vendors to allow a 180-day grace period for sellers who have previously purchased extensions. The new SKU will be connected to the Store and the extension removed from it. Merchants that have the extended extension will be informed that they have a 180-day grace when signing up for the new product.

The same 25-day return policy applies as for the initial purchase.

E-commerce’s Bane is Brick & Mortar’s Advantage

It started innocently, like many bad habits. It started at two and then it became four. It was eight before you knew it. It felt at first like a little secret. It’s now out there, a point to be proud of. It’s not vaping or video gaming, but returning e-commerce orders. It started as a selling point for convenience, but it has now become a problem for the person who ships it. Retail returns are the result of e-tailers.

CBRE states that e-commerce retail returns range from 15% to 30% or one in three purchases. This amounts to $32 billion in dollars and cents. Contrast this with brick-and-mortar returns, which are only 8%. This is a fraction of online returns.

There are downsides to buying without buy-in

In-person shopping is the best way to ensure that a purchase fits properly, whether it’s clothes, electronics, or housewares. E-commerce cannot match the tactile sensation of a garment, the ability to try it on, gauge your weight, and view actual color and finish, regardless how high resolution a photo may be.

E-tailers are often the victims of their marketing strategies. E-commerce makes it easy and affordable to return (hello Zappos! Consumer behavior has gotten so ingrained that they are more likely to order with the intention to return.

This is a common problem in our household, as well as the neighbors. My daughter ordered many dresses online for prom, so she could find The One. Online shoppers don’t have to wait for a special occasion to order FedEx trucks – you can get new shoes, sneakers and handbags, as well as a tennis racket or area rug, all of which are good fodder for multiple items orders. Online shoppers can buy, but there is no “buy in”

Customers are more likely to buy in-store than online. They are able to see exactly what they are getting. There’s nothing more thrilling than opening a box and seeing what’s inside. However, it’s not a disappointment if what you were expecting, room dimensions or shifting whims are all wrong.

Derek Hall, CEO of Brightpearl is calling the rising tide of online retail returns a tsunami. Hall points out that consumers will purchase more, but they could return four additional items per month.

This is having a serious impact on ecommerce margins. Every retailer, online and offline, is well aware of the constant threat to their margins. Brightpearl’s recent survey found that 44% of retailers agreed that shipping, handling, and returns are affecting their margins.

E-tailers see the intentional return as a huge buzzsaw that cuts away at their profitability. The result is the explosion in ecommerce brands opening brick-and-mortar shops. You can easily decide which eyeglass frames will look the best on you if you have them in person. Once you zip up your pants, you will know which size and what style is best for you. Once you lay your body on a mattress, you can tell if it’s going to be a restful night.

E-tailers have a flexible way of creating an in-store experience. Some open pop-ups. Pop-up shops for e-commerce brands are appearing more often. The goal is to allow the customer to get up close to the products, and provide a tactile experience that makes the sale.

See useful links:








Line up for an opportunity

TJX Companies, Saks Off Fifth and others have taken advantage of the checkout line’s popularity as prime impulse-buying territory. Apple’s Genius Bar has a video backdrop that keeps customers engaged and informed. Customers can enjoy engaging visuals that enhance technology use by watching the Genius Bar’s video screen backdrops.

This principle can be applied to the returns section. This is right. Why limit the display to the sale side? Why should all information be restricted to the help desk? Functional and profitable customer service and retail returns can be achieved. Customers who are waiting to be answered or returned by their service representative can be enticed into buying.

It’s a good idea to set up sales displays wherever people are. Signage that directs customers to seasonal specials or new products will maximize your retail sales floor.

The path to discovery is laid out

One area in which retailers have found a profitable middle ground between offline and online shopping is this: Customers can find it online and pick it up in-store. The retail sector can take a leaf from the supermarket’s layouts and be even more strategic. Food shoppers have had to pass on tempting cakes, fruits, and other seasonal goodies for years in order to reach the back of the shop to purchase milk, eggs, and other necessities.

This can also be used for fashion, sporting goods, and health & beauty pick-ups in-store. You can place the pick-up area at the back of your store and arrange for shoppers to pass by attractive/fun/eye-catching signage and displays. They will pick up the items they ordered online and more.

Multi-channel retailers face two problems when it comes to online returns. The first is to reduce the number of returns by making it easy for shoppers to find what they are looking for and giving them valuable information. Having more buy-in means that shoppers are more likely to be satisfied and less likely return. To maximize your incremental sales, you can suggest a visit to a physical store if there are returns.

The 2018 Fancy Food Show features plants, fizz, and the pursuit of healthiness

Three days. Six football fields of walking, 2,600 exhibitors stands, and 200,000 specialty products. It was exhausting, but delicious, to eat our way through the 2018 fancy food show.

This event could not have been more timely. The specialty food market is growing rapidly, with a 12.9% increase in sales and $140.3 billion of revenue in 2017. This compares to 1.4% growth in the total food industry.

We were able to pick out a few products from the sea of options. There are many ideas in the industry.

More also:








Power from plants

You might be wrong if you thought that cauliflower was dying. The huge trend in cauliflower products, including cauliflower pizza crust, steaks and rice, is not slowing down.

Outer Aisle Gourmet, Caulipower and Gaea’s Cauliflower Veggie Snack are just a few of the brands that make delicious meals and snacks out of this versatile vegetable. For our vegan and vegetarian friends, we even saw grill cauliflower steaks!

Natural, plant-based foods are also making huge strides. There were many protein-rich alternatives for snacks and meals. Who would have thought chickpeas could be used in so many ways?

Biena is a specialist in roasted chickpea snacks. They offer fun flavors such as honey roasted, ranch, and thin mint. Pedon offers consumers fiber- and protein-rich noodles made from chickpeas red lentils and green beans.

This plant-based trend is a good one, considering that gluten-free dietters have tripled in the past decade. This diet is now available to food retailers across the United States.

Fizz without fear

It is no secret that soda sales have dropped sharply. Soft drink consumption has declined each year in the past decade. This is partly due to people looking for sugar-free alternatives, but also diet soft drinks.

Despite soda’s decline in popularity, the beverage industry still managed to increase 18% in its sales. Sparkling beverages and waters are sweeping the industry – providing people with the fizz and sugarlessness of soda, and adding texture and excitement to naturally flavored waters.

Companies are becoming more creative in flavoring. Lavender-chai-pear, jalapeno-flavored beverages were some of the examples. DRY Soda introduced winter-themed cranberry & blood orange flavored beverages with 60% less sugar than traditional sodas.

The most unusual (and buzz-worthy!) beverage is O.Vine. O.Vine is a non-alcoholic water which tastes just like wine. It’s the most unique (and buzz-worthy!) beverage. Other drinks can also be imitated or referenced alcohol beverages with high-end flavors and zero proof. Tost is a non-alcoholic, dry white tea with cranberry, ginger and was packaged in a champagne-like glass.

These mixers are non-alcoholic and will likely be the preferred choice for fun, new cocktails.

Whole milk for whole life

You don’t know much about fat. A higher concentration of healthy fats is actually beneficial for weight loss, including whole milk.

Fattier foods feel fuller longer than low- or non-fat dairy products, which can make people feel satiated. Research has shown that whole-fat foods result in fewer calories per day.

Marketing strategies and packaging are changing with this shift in thinking. Promotion of fat content, which was hidden previously, is now an opportunity for promotion. Have you ever seen yogurt or other dairy products advertise a higher fat content? Fage, a dairy company, has designed new labels for regular-fat Greek yogurt. It emphasizes its 5% fat content.

The whole milk movement is in sync with the plant-based trend. Health has led to severed ties with carbohydrates and a focus on healthy sources for protein and fats. Carbohydrates have become the enemy of weight loss and overall wellness.

See related :








The 2018 Fancy Food Show: Living in 2043

The above trends only focus on what’s currently in stores, but one company offered us a glimpse into the future of the food industry 25 years hence.

Future Market is The Alpha Food Labs’ brainchild. It explores how the food system will evolve over the next decades to be more sustainable and dynamic. The 2018 Fancy Food Show featured a fascinating museum-like pop up, led by Mike Lee, an incredibly talented and influential figure.

The idea was to challenge conventional thinking about food and ideas that may appear unappealing at first glance. We looked at proteins grown in petri dishes and blockchain-approved fish and chicken, as well as biodegradable water bottles made of shellfish shells. All this was in a futuristic grocery shop.

These innovative products and ideas can make a huge difference in improving the lives of people and saving the planet. These are the new advances in cruelty-free, sustainable, and eco-friendly technology. Inhumane, wasteful, and socially irresponsible methods are out.

The future is bright and delicious.

We are full and satisfied, with our bags full of samples, and our eyes fixed on the future, as we close the 2018 Fancy Food Show. These trends are what we look forward to tasting in a store near us.

15 Digital Marketing Suggestions for Retail Store Owners: How to Advertise Your Company & Get More Clients

Retail shop owners put on a good deal of hats, particularly in the morning.

You are managing stock , training team , working with vendors, and many other jobs your company should operate smoothly.

You understand digital advertising can help increase earnings, but you are trying hard to locate time to get this or even know where to begin.

Luckily, there are lots of low-cost, easy-to-learn digital marketing strategies you can attempt today.

15 digital advertising ideas for retail shop owners

Keep on reading to see all 15 thoughts, or use the listing below to jump into one which stands out to you!

  1. Live movies
  2. Promotional mails
  3. Worker spotlights
  4. Branded hashtags
  5. Social Networking tales
  6. Spotify playlists
  7. Contests and giveaways
  8. Messenger apps
  9. Behind the scenes seems
  10. Holiday posts
  11. Present occasion participation
  12. Videos and GIFs
  13. Surveys, surveys, and quizzes
  14. Facebook bands
  15. In-store apps

1. Live movies

Videos are a terrific way to interact with clients, but were you aware that 80 percent of individuals favor live movies on pre-recorded ones?

To begin, all you will need is a platform using live video alternatives, such as Facebook, YouTube, Instagram, or Vimeo–that you most likely already have!

What do you need to do a live movie about? The choices are endless! Live movies are fantastic for performing in-store excursions, Q&As, and even product attributes (providing your digital viewer a behind-the-scenes look in your retail shop is also a fantastic omnichannel selling strategy!) .

To increase participation, consider announcing your plans to your live movie beforehand so that your followers may plan to listen.

2. Promotional mails

They are among the oldest tricks in the electronic playbook, but nothing beats an engaging promotional email.

In reality, one analysis asked individuals”How often, if ever, do you prefer to get promotional emails (, sales alarms ) from companies that you do business with?”

The answer?

61 percent of people said they’d love to get those mails at least a week, and 86 percent stated yearly. That is a whole lot of chance!

But how do you begin?

You’re going to want an email platform along with also an email listing (Shopify will be able to assist you !)

From that point, consider developing a very simple email template you may use to announce your most recent product or purchase, or get private by revealing your shop’s community participation or behind-the-scenes photographs and stories.


3. Worker spotlights

A research showed that 52 percent of website traffic go straight to some new About page after seeing its homepage.

What do we understand from this?

Shoppers want to find that the folks behind the brand. That is why worker spotlights could be such a potent strategy.

Consider worker spotlights as tiny introductions of your shop staff for your clients. If you host them in your own site or your social networking accounts, they are a fantastic way to bring a personal touch to your advertising efforts and present your clients to the folks they might experience when they go to your shop.

Resource: Architect’s Wife

4. Branded hashtags

A branded hashtag joins customers not only to your merchandise but also your manufacturer –but what is it precisely?

Require Old Navy’s #oldnavystyle, for instance.

Clients post images of themselves wearing outfits from Old Navy on platforms such as Instagram using all the hashtag #oldnavystyle, that has created an internet community around a shared love of their clothing Old Navy offers.

Decide on a exceptional hashtag that talks to a brand worth and utilize methods like social websites, emails, as well as in-store signage to encourage shoppers to utilize the hashtag. Be certain that you stick to the hashtags on societal websites so that you may repost and attribute clients on your newsletter to incentivize more sharing!

Resource: #oldnavystyle on Instagram

5. Social Networking stories

Facebook, Instagram, Snapchat, and WhatsApp have a Stories works for instant, lively, and speedy movie content.

There are almost one billion users around those four platforms with Stories regularly. And almost 64 percent of manufacturers were using or intended to utilize Stories within their electronic marketing strategies just annually.

To begin, all you will need is an account on a few of those social networking platforms we recorded.

Begin with doing daily check stories,”look round the boutique” tales, merchandise unboxing tales, product tutorials, and customer-service-themed stories.

This is a strong method to create fast video content which may be categorized and stored using the Highlights attribute in those apps.

Resource: Beardbrand on Instagram

6. Spotify playlists

Retail stores often concentrate on producing ambiance with audio.

As you most likely already have curated shop playlists, why don’t you discuss them with the entire world?

Sharing playlists on platforms such as Spotify is a wonderful way to expand your brand expertise to your clients when they are not in your shop.

Urban Outfitters has over 65 people playlists that its faithful shoppers may enjoy. It retains UO top of thoughts and conveys Urban Outfitters edgy brandnew.

To begin, you want a Spotify, Apple Music, or alternative audio playlist building-and-sharing account. After that, get to work! Consider building playlists around specific topics, special occasions, or seasons.

7. Contests and giveaways

Social networking is an excellent way to market your retail shop, but imagine if you do not have a large after yet?

For retail shops, a simple method to get people to accompany you and participate with your brand is by simply performing a spoonful or a competition.

Some ideas to begin:

  • Run a competition in cooperation with another shop, manufacturer, or vendor to expand your audience
  • Use competitions to Construct enthusiasm for new product releases
  • Strategy competitions as a Means to market overstocked products

Ensure that you communicate clear involvement needs and adhere to this platform’s promotional recommendations .

Source: claybysteph on Instagram

8. Messenger apps

A fantastic way to promote more goods is making it much easier for prospective buyers to ask you questions and maintain offers about the platforms they are spending some time on.

By way of instance, Facebook and Instagram direct messages may be excellent ways to interact with your customers and make one-on-on adventures that instill confidence in your own brand. In reality, based on Facebook, 69 percent of individuals say being in a position to message a company helps them feel confident about the brand.

Resource: Facebook

9. Behind the scenes seems

For electronic marketing retail adventures to come living, consider revealing what happens behind the scenes for your clients.

Should you utilize an offsite producer who matches you about manufacturing or you’ve got local vendors send goods to your shops, share that with your own crowd!

Give a peek of exactly what sets products in your shelves and provides your providers the value they deliver to your clients.

To begin, you need agreements with your suppliers and anybody else involved saying they are OK with you posting this particular content. It might be incredibly successful if and when you’re doing!

10. Holiday posts

At the start of the calendar year, download a vacation calendar using the date of each legal, spiritual, and celebrated holiday.

This is a superb way to plan social networking posts and other electronic marketing retail material beforehand. You can also get creative and post for a number of your favourite “national day” parties that include a sense of humor to your posting.

Krispy Kreme does a weeklong party of Instagram posts and giveaways each year in honour of National Donut Day.

Resource: Krispy Kreme on Instagram

To begin, have a look at the vacation calendars we connected above and incorporate them in your articles calendar. Look at developing a custom picture in Canva or another simple online tool in order for this to seem professional with branded content.

11. Present event involvement

Participating in present events, political movements, and neighborhood happenings may seem frightening. Nonetheless, it is a highly effective way to have a stand, align yourself with an origin, and also attract the sort of client you need purchasing your services and products.

To begin, consider your perfect client, and about everything you believe in and wish to market along with your shop. Then select approaches to have a stand on social networking and over your other stations.

12. Videos and GIFs

80 percent of clients state that they use video and internet content to create a purchasing decision–reason enough for retail shop owners to think about adding videos for their electronic advertising plan!

Particularly now, as COVID-19 is preventing you from linking in-person with sellers as far as you used to, video may connect clients with you and your shop from the comfort of their property.

To begin, make a decision as to which sort of video material you have the tools to produce. When it is a video blog (vlog), a educational how-to movie, or a tricky GIF, animated content is a highly effective way to acquire customers participated with your shop, your products, along with your providers.

Source: Believe with Google

13. Surveys, quizzes and surveys

As a retail shop owner, you might be acquainted with requesting comments on site, but are you aware that you may use social networking to gather opinions and customer insights too?

Among the fastest ways is via Instagram Stories. Throughout a quiz, open-ended query, survey, and slider, you’ll acquire real-time feedback from the clients as soon as they see and react to a Stories.

14. Facebook groups

Consider beginning a Facebook set around an occasion or shared interest to get a subset of your clients.

A good deal of retailers that offer pop-up or classes occasions might want to utilize a personal Facebook group to allow customers share more securely and personally.

This is a means to provide your shop’s brand visibility and reveals you are invested in your clients.

15. In-store apps

While not every merchant is prepared to present an in-store app to their electronic marketing mix, apps may be great rewards for getting shoppers to your shop.

You may begin with an easy digital punch card bonus system in checkout. However, you may also acquire sophisticated and make an app that functions like an in-store helper, with product manuals, reviews, and descriptions.

Could you envision scanning a label in a clothes shop and having the ability to swipe and watch pictures of these clothing modeled on various body types? This may reduce fitting room dependence and empower faster earnings.

Decide what matches and operate with it

When these thoughts could be exciting ways to engage your clients, they are not for everybody. It is important to examine in which you are likely to have the greatest bang for your advertising buck and begin there.

Leveraging any sort of digital advertising for retail is a fantastic first step. The combination of your digital and physical storefronts can help boost your organization, establish your brand, and get more clients.

The Predictive Scheduling & Fair Workweek Compliance Landscape for Restaurants

Labor Compliance is Top of Mind

Labor compliance, predictive scheduling, and Fair Workweek are terms on the brain of every restaurateur in America–and for good reason. As strict labor legislation continues to pass in more cities and states around the usa, the danger of compliance fees and legal suits develops for restaurants.

The cost of non-compliance

By 2020, restaurants in the united states will pay an estimated $30M+ in compliance fees, and areas with regulations enacted are already making legal moves.

New York City, which enacted their Fair Workweek laws in 2017, has filed a $1 million lawsuit contrary to Chipotle for alleged violations of regulations. The city says that the brand has”ignored the core tenets of the Fair Workweek laws “–one of the major violations being the final character of the staff scheduling.

Big manufacturers are contending with significant suits, which are driving home the important nature of complying with the new labour laws. These regulations were ultimately designed to enhance the quality of life for restaurant and shift workers.

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However, it is not all grim for restaurateurs.

The Advantage of Fair Workweek for restaurants

Strict labor laws do not necessarily mean increased labor costs for restaurants.

At a pilot program run by Gap, study demonstrated that implementing fair scheduling practices had a positive effect on their bottom line–viewing a 5 percent increase in labour productivity, a 7 percent increase in median earnings, and a general increase in earnings of $290,000 across their 19 shops in the program. This stability provided by fair scheduling practices–creating programs beforehand and removing on-call scheduling–generated happier and more dependable personnel which overall lead to increase in their sales and efficacy.

By solidifying the staff schedule weeks ahead of time, and refraining from making last-minute adjustments, your labour projections will be more precise and reliable. That visibility means more bottom line benefits for your restaurant, like improved sales per labor hour and labour costs.

The Way to Guarantee labor compliance in your restaurant

The restaurant space is among those most-affected businesses by new laws, so every restaurateur ought to know about how to remain compliant. These three tips will get you on the road to compliance, and away from significant fees.

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Use the Perfect restaurant software

By using clever technology solutions, restaurants may take charge of their compliance to prevent legal suits and compliance penalties equally. By way of instance, incorporating your restaurant technology systems such as your Revel point of sale (POS) with 7shifts’ labor-compliant staff scheduling can ensure your supervisors are abiding by local labour laws while they are scheduling.

Utilizing accounting integrations will provide you additional control and visibility over timesheets and employee presence. These factors will continue to keep your records straight and make sure your staff are appropriately paid for their work–overtime hours and all.

Emphasize manager training

In addition, as your business develops, you need to ensure every supervisor is fully trained throughout on-boarding (and on a continuous basis) on the scheduling process to prevent any compliance slip-ups. Supplying them with in-depth training on the technology and tools at their disposal will go a long way to keep your restaurant compliant.

Use your Revel information to forecast future scheduling needs

Build better schedules beforehand by leveraging the Revel + 7shifts integration to predict sales and forecast labor requirements. Using software can make this process simpler by automatically projecting your earnings that will assist you schedule accordingly. The more accurate you’re about forecasting future needs, the less you will pay in last-minute compliance change charges.


As new labour laws continue to maneuver in new states throughout the nation, it’s crucial to implement the perfect practices in your business to remain compliant. Do not take shortcuts on scheduling to save a couple of labour dollars–or you might be hit with charges and legal suits which could put you out of business.

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What is Inventory Management? Stock & Order Systems

What is Inventory Management?

Inventory or inventory management is one of the most critical aspects of most modern companies. In a nutshell, it is a system for monitoring, purchasing, producing, and selling of any bodily inventory on your operation. It may be either for raw materials, finished goods, or both.

The inventory management definition might be simple, but the process gets more complex with larger companies. There are several components involved which are both inside and beyond your control. That is why one of the most critical regions of good inventory management is proper tracking.








Effectively managing your inventory is something that will make or break your company. Do it right, and you can save your performance a lot of money and time. But if you do it badly, it can cripple even the most prosperous businesses.

To manage inventory, you’ll need an efficient stock management system. In this post, we will go over why you need a stock management system, the features you should look out for, and other stock tips and techniques to help you out.

Closer Look: Inventory Management Systems

A robust inventory system is vital for any company’s bottom line. Inventory is exactly like any asset in your balance sheet; you want to correctly account for it. If you fail to do this, then you risk losing money on losses or theft. You also need to be sure that you’re not spending too much money on your stock, as this ties up funds that may be better used elsewhere in your company.

Good inventory management also helps your company perform better for your clients. Maintaining proper inventory levels of your products ensures that people can always rely on you for the purchases that they require. If you’re always out of stock, your clients will see you as unreliable and might go to your competitors instead.

Every business needs inventory management in the event the business is selling or working with a physical item. Even service businesses need to maintain an inventory of the consumables they should deliver that service to clients. For example, a hair salon will require an accurate inventory of the shampoo, conditioner, hair dye, and other products they use daily.

Where things differ is the inventory management methods employed by individual businesses. Smaller companies tend to keep it simple with nothing more than a manual count on an Excel spreadsheet. More complex operations will often utilize technology like barcode scanners or tagging to help monitor large volumes of stocks.

There are no hard and fast rules for many businesses, as each has its own quirks and circumstances. A manufacturing company, for instance, will need to account for production lead times in calling their inventory.

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Common inventory management systems

There are many approaches to successful inventory management:

Manual Counting

This is the most simple, but also the most cumbersome method. Manual counting involves nothing more than a spreadsheet and plenty of time and patience. Aside from the effort involved, manual counting also has the risk of human errors. Small errors, like miscounting even 1 item, can snowball into more significant problems down the line.

The only time you would like to do manual counting is if your performance is small enough that getting a more complex inventory management system does not make sense financially. Manual counting is also a feasible strategy to be done annually to double-check inventory amounts.

Cycle Counting

Cycle counting is an inventory management system that frequently counts just part of your inventory. The stocks or area counted changes or cycles every time, thus the name. Normally, the fastest-moving stocks are prioritized.

Cycle counting can give a good picture of your inventory levels, but only if the right sample is taken. Needless to say, errors and inaccuracies are still problems that can affect the result.


The easiest and fastest inventory management system utilizes scanning methods. One means to do this is with barcode scanning. It not only speeds up the stock counting process, but in addition, it reduces any errors. The data can also be upgraded in real-time.

An upgrade to barcode scanning is the use of radio-frequency identification (RFID) tags attached to each item. Rather than needing to aim the scanner into the label like with a barcode, RFID scanners permit identification of the tag from a distance. This speeds up the process dramatically.

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Features of good inventory management system software

Because inventory management software is a crucial part of your operation, you want to be cautious when picking one. Unfortunately, not all inventory software is created equal. Here are some of the basic features to look out for:

  • Location Management

Understanding how much inventory you have is not enough when you’re dealing with large warehouses. In addition, you need to understand where it’s located. This can get especially tedious if you’ve got multiple warehouse locations.

That’s why location management features are essential. They go beyond tracking stock location and also include suggestions on where to put items on the sales floor or in the warehouse for the most efficient use of space.

  • Stock forecasting

An essential feature every inventory management system should have is powerful forecasting. The software should let you set critical levels to your inventory and alert you if this happens. A sound system will also prevent the opposite problem — surplus stock.

  • Cross-platform

For larger operations, cross-platform performance is crucial. This permits you and your employees to get real-time stock information, whether you are out of the office or down to the warehouse floor. Support for mobile devices is also crucial, so you may rely on information getting updated much faster.

You also want your inventory data to be accessible right from the point of sale (POS) system. In retail stores, this is essential for upgrading your stocks as they get updated in real time.

  • Barcode scanning

Barcode scanning is a common technique used to speed up the process of adding items to your inventory management system. It semi-automates the process and removes potential human error from manually entering values into the system.

  • Shipping features

Good inventory management systems have shipping features built-in. With these, you can handle the whole shipping process, including creating waybills, invoices, and packing sheets.

  • Inventory counting features

Needless to say, any stock management system worth its salt should have robust counting functions. Apart from manual audits, look for innovative strategies like cycle counting, which permits you to sample a small part of your inventory to infer the count of the whole inventory.

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Stock inventory management Methods and best practices

Inventory management is a vast and complex subject, and there is no one-size-fits-all solution for each business or industry. However, there are some best practices which you can implement (or at least tailor-fit) to your organization.


FIFO refers to First In, First Out, and is one of the most common and effective strategies in stock management. As the name implies, you take out the shares that first entered your stock. In effect, you are selling off the older goods first rather than newer ones.

FIFO is an acceptable approach when dealing with perishable goods like food. This ensures that products don’t stay longer than they want to on your inventory, reducing spoilage costs. In a physical inventory system, the simplest way to implement FIFO is to always add new inventory at the trunk and receive stock from the front.

The ABC Method

The ABC Method is a system for classifying your shares based on how quickly they get disposed of or sold. You may set the fastest-moving products in Category A, for instance, while slow-moving inventory is moved to Categories B and C (hence the name).

The logic is that Category A products should be prioritized in terms of both warehouse layout (they should be closer to the satisfaction area) and inventory forecasts. By doing this, you effectively maintain appropriate stock count without overspending and interrupting your supply chain.

Do a regular audit

Even if you rely on a stock management system that tracks stocks for you, it’s still worthwhile to manually count the stock yourself. There could be some discrepancies which you need to look further, be it because of computer or human error. Small issues like these can grow to uncontrollable proportions if not kept in check.

There are many ways to approach an inventory audit, based on the size of your operation. The most common is to do a comprehensive manual count in the end of a financial year, and spot checking at regular intervals.

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Look into dropshipping

Sometimes, the perfect inventory management approach is to not do it at all! This is known as dropshipping, where a store sells products directly from a third party. They don’t take care of the product itself and, thus, don’t have to track inventory. This simplified approach is a popular method used in e-commerce stores.

Hire a stock controller

For those who have a bigger operation, it might be best to hire a stock controller. This is a point person devoted to keeping an accurate inventory at all times. They will get inventory orders, sign off on deliveries, and track your inventory traffic.

Tech in Restaurants: New & Helpful Systems & Trends

Tech in Restaurants: 5 Essentials for Every Enterprise

During the past decade, restaurant guests have changed their habits. People have changed the way they eat, what they eat, and where they consume. They want their food to fulfill an assortment of dietary requirements and limitations while still giving a delicious experience. Guests also want more choices like a multitude of ordering and payment choices or a extensive menu that they could navigate on a high-end tablet.

The substantial shifts in expectations and tastes have surfaced using a parallel consumer technology boom. Tech in the restaurant industry makes it possible for companies to keep up with all the latest trends and conveniences customers have come to expect.

In this guide, we’ll discuss the most vital restaurant technology which can help maximize efficiency and earnings.

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1 . Tablets for Customers

Giving your guests the ability to order through a contemporary digital menu and then safely and make payment will bring your restaurant to another level. Self-service restaurant technology trends started with quick-service restaurants (QSRs) such as Taco Bell. Once Taco Bell allowed their clients to place orders with tablets, kiosks, and mobile apps, their electronic order earnings increased by 20 percent over conventional orders created with an individual cashier.

However, it is no longer just Taco Bell — today, it is possible to discover self-service technology in restaurants everywhere. From fine dining restaurants to casual pizza places, companies everywhere utilize restaurant POS systems to display their digital menus and empower their visitors to place orders quickly and effortlessly.

Tableside ordering is a superb option that boosts productivity and saves time. It results in quicker table twist, safer payments, and happier guests.

2. Self-Service Kiosks

Stand alone, self-order kiosks are a remarkable example of new technologies in restaurants which enhances customer experience and service efficiency. They are particularly popular in casual restaurants because of the many benefits they bring:

  • Restaurants are better able to meet guest expectations by providing a topnotch digital experience.
  • Guests have more control over the entire process, which makes it easy for them to navigate through the menu and customize their requests.
  • Lines Boost, fostering ordering quantity and general restaurant productivity.
  • Self-checkout options are among the hottest restaurant tech solutions, appreciated by guests worldwide.

By providing your clients with an easy-to-use standalone kiosk, you’ll delight them visually and practically. However, you’ll also eliminate lines and permit employees to concentrate on tasks of greater value.

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3. Handheld POS Order Takers

Restaurants using traditional POS systems undergo a somewhat lengthy payment procedure. The server should go to the table and ask if the guest is ready for a check, then bring the attention to the guest, then take it to the POS terminal and eventually return again to the table with change when the guest paid in money.

Handheld POS order takers–sometimes called mobile order takers–allow your workers to streamline their operations by allowing guests to order and pay at their own table. Because handheld POS technology in restaurants enables rapid ordering and payment, order speed and accuracy improves, and guests spend less time waiting for their orders and invoices.

4. Contactless Payment

Contactless and mobile payment is becoming extremely important to guests worldwide. It is a brilliant solution that can help keep your visitors safe by letting them swipe to cover their food. It helps prevent unnecessary physical contact between staff and guests, allowing everyone to keep as secure as possible and maintain a social space.

Contactless payment devices are lightweight and durable, and a number of them enable all possible payment methods — anytime, anywhere in the restaurant.

5. Printers

We can’t discuss technology and restaurants without mentioning printers. While contactless payments and electronic receipts could be taking over and growing in popularity, most restaurants still want the option to use paper receipts. And to print any kind of receipts, you will need an excellent printer. There are two basic types of printers for restaurants:

Receipt Printer

Receipt printers, also referred to as thermal printers, are most widely used on the customer-facing side since they operate quietly and much quicker than conventional printers. Every receipt printer is a thermal printer, which means it does not use ink to print. On the contrary, it creates images and characters by heating thermally sensitive paper.

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Impact Printer

The effect or ink is the most frequent kind in the rear of the restaurant. If your team is busy, they might not see a new slide in the printer. But, impact printers and their loud printing procedure catch the interest of chefs and cooks easily, so that they can process each order after the order arrives.

Revel Systems Technology in Restaurants

Restaurants all over the planet are embracing technology as a vital part of their business. From barcode scanners to self-ordering kiosks, the restaurant business gives its best to keep up with developing trends. At Revel, we supply an entire restaurant information system with high-end tech solutions. Contact us to find out more about our packages including business POS platforms!

The Key Holiday Season Presents For Retailers in Australia and New Zealand & How To Maximise Revenue

Don’t miss these critical opportunities to connect directly with festive shoppers and boost your sales leading up to the Christmas period ahead.

Christmas is the biggest annual revenue driver, contributing more than 45.3percent to the total annual retail sector. In the lead up there are various events throughout November and December — such as Click Frenzy, Black Friday, Cyber Monday — offering opportunities for retailers to showcase who they are and what they do, to drive sales and engage with new and present customers.

Here’s the list of Important dates to Create plans around:

  • Melbourne Cup — November 5th — In categories like fashion, 70 percent of individuals purchase with an occasion in mind. Fashion retailers are well-acquainted using the purchase-driving power of the Melbourne Cup.
  • Click Frenzy — November 12th — A effort fusing Australia’s main sales into a centralised online shopping experience — and definitely worth getting involved .
  • Black Friday — November 29th — Originally in the U.S, Black Friday has become a growing initiative here in Australia.
  • Small Business Saturday — November 30th — Initially started by American Express, encouraging clients to’shop little’ and support local companies.
  • Cyber Monday — December 2nd — Cyber Monday follows on from Black Friday, with a focus on online shopping.
  • Free Shipping Day — December 14th — The previous day that customers can shop online with guaranteed free delivery prior to Christmas.
  • Super Saturday — December 21st — The last Saturday before Christmas (enough said).
  • Boxing Day — December 26th — One word: earnings, sales, sales.

If retailers can adopt these events successfully, it increases their likelihood of bringing keen seasonal shoppers — and turning them into returning, long-time clients.

According to our experience working with leading Australian & New Zealand retailers, here is the three most critical areas to get right.

1. Optimise Your In-Store and Internet Experience So They Are Efficient & Engaging

Australian and New Zealand shoppers reveal a clear preference towards retailers offering an integrated bricks and clicks existence. This provides them with maximum convenience and efficiency to finish their buying journey by using both electronic and in-store touch-points.

Regardless of the growth of online shopping, Australians still favor completing part of the purchasing journey in-store particularly for the big occasions. However, they are mixing that with online research to guide which store(s) they see. Nowadays, two out of five shoppers leave a sale due to a lack of cross-channel alternatives to make a purchase.

Given that the festive season is the period of greatest spend and complexity (with many present choices to make) for many customers, providing such efficacy is vital.

This requires retailers to optimise their in-store experience to increase the odds of winning the sale and building loyal relationships when shoppers see. Ensuring your shop, staff and systems are geared up to effectively engage clients, fast provide recommendations and increase termed earnings / loyalty sign ups it is crucial to increase sales and minimise abandonment. With a great number of casual employees in operation throughout the festive period, retailers will need to provide them with intuitive, intelligent systems and technologies to help bridge the knowledge gap.

In addition, you need to ensure you’re providing a unified online shopping experience that maximises in-store visits and eCommerce revenue. 1 survey by Deloitte proves that digitally affected in-store buys made up over five times that of pure eCommerce purchases. To put it differently, it’s now commonplace for in-store shoppers to research a new or product online . Research demonstrates that 67 percent of people will see a merchant’s site first, before going into physical shops .


Offering Click & Collect and In-Store Stock Assess based on real-time stock is one big way to drive these in-store visits. Australians shoppers love Click & Collect for the motives of ‘preventing house delivery charges’(45 percent of shoppers) and because‘it is much more suitable than home delivery’(37 percent of shoppers). For online-sales driven events such as Click Frenzy, Black Friday and Cyber Monday there’s still chance for retailers to turn them into in-store visit chances.

For both online and in-store, ensuring that you have the ideal fulfilment choices and that meet / exceed delivery rate timelines is critical during the holiday season. Fail to provide confidence that customers will receive their products in time and see that your conversion rates plummet.

2. Make sure Inventory / Product Availability

During the festive period, with a long list of presents to purchase and a brief length of time, shoppers tend to be even less forgiving when it comes to retailers not having available inventory.

So, having the ideal product choice available and appropriate inventory levels in all your stores and stations is an obvious issue to get right. But it is still among the most frequent failures we see from Australian and New Zealand retail. Understocking and overstocking contributes to a drastic amount of lost sales. The typical merchant loses 4 percent of potential revenue because of 31 percent of consumers purchasing products from other retailers when things aren’t immediately available for purchase(2).

Those retailers that can exceed customer expectations and give the fastest and easiest access to a range of their best products to meet their needs, can secure a highly effective source of sustainable competitive edge in their own category. The financial effect of greater eCommerce and in-store earnings can be deep. Retail Express customers see an average of $120,000 increased yearly profit per store by allowing such plans.

Retailers pursuing an Endless Aisles business model where all their shops and stations can leverage all inventory across their entire supply chain have the ability to maximise product availability and choice, and optimise the fulfilment experience for clients.

3. Maximise Profiling and Targeted Marketing Before & After The Season

Now’s the time for retailers to receive their targeted marketing so as to drive online and in-store visits and maximise brand awareness. This needs to include digital advertisements, social media and email campaigns together with in-store signage & visual merchandising. By utilizing customer profile data, each these campaigns can be personalised to account for a selection of different demographics and product preferences.

Maximising the capture of profiles and names of all visitors and clients that hit your shops (physical and online) during the festive season is vital for continuing personalisation, loyalty programs and promotion to induce repeat shop visits and maximum lifetime value to the new year.

You will find a wealth of current customer growth and loyalty programs you can participate in if essential details are recorded. However, many stores still let shoppers walk away unidentified and don’t turn them into repeat customers.

In Retail Express, maximising termed earnings is a leading item on the agenda of the growth-focused retailers we associate with. In general store and invididual staff KPIs and incentives are designed with this front of thoughts. Having advanced CRM capability inside your in-store Point of Sale system is critical to progressively profiling clients.


Coronavirus: The Effect on Australian & New Zealand Retail

The Coronavirus is causing substantial supply shortages from China and customer confidence problems which will soon affect Australian & New Zealand Retailers. Read our free article to receive a complete overview & key recommendations.


The Coronavirus, that first appeared in a live animal market in the Chinese city of Wuhan, has (at the time of writing) infected nearly 80,000 people and led to over 2500 deaths, sending jitters throughout international markets as investors remain concerned about its untoward consequences.

It’s feared it will have a profound effect on Australia’s retail market, which has been shaken recently by numerous collapses, a slow Christmas trading period, and weak consumer confidence.

This report explores the possible risks for Australian merchants and provides some important recommendations to best adapt to them.

While the challenges Coronavirus presents could be considerable, resilience is a core component of the Australian merchants DNA. Advertisers who exploit this and take a more proactive, agile approach will be best positioned to minimise the effect on their businesses.

Risk #1 — Stock Availability & Lost Sales

Many Australian retailers have just come from a slow Christmas trading period and are now faced with possible supply shortages for months to come. Without crucial supply to fill shops, and continuing fixed operational costs, the future slowdown in earnings may prove devasting for some.

With China being in the centre of the Coronavirus outbreak, there were widespread factory shutdowns following an already extended period for the Lunar New Year. What’s more, millions of Chinese workers have been in lockdown and not able to go to work as the government attempts to contain its own impact.

It’s predicted this could cause substantial production and transport delays of both raw materials and finished goods from China and consequently lead to stock availability and sales drying up for Australian merchants.

“Some [providers ] have stated from April they will only have the ability to achieve 50 percent of their normal production.” says Bill Huynh, Managing Director and Founder of Interior Secrets in an interview with Smart Company.

Huynh also points out that”There is going to be a whole lot of the workforce who won’t have the ability to return to work… they will need to recruit,” he states”There will be consequences logistically, and from an excellent aspect, since they will need time to train new staff.”

And it’s not only supply from Chinese manufacturing which could become postponed. The downturn in raw materials supply from China to producers in other areas of the globe could cause delays for finished goods produced by these states. The virus is very likely to have impacts on manufacturing productivity and supply chain speed in any state that it reaches.

“One of the ways the disruption from this virus plays out, international production chains essentially quit working,” states Michael Blythe, chief economist from Commonwealth Bank.

Therefore, whether directly importing or purchasing via national wholesalers sourcing from China or other affected countries, it’s hard to understand how these supply chain problems won’t have an effect on Australian retailers.

Australian Retailers Are Especially Exposed To Supply Risk

China is Australia’s biggest trading partner — providing everything from clothes, toys, shoes, homewares, and electronic equipment — so the effect for our retail market might be especially widespread, impacting most sectors.

The effects on the Australian retail supply chain are yet to be seen with most experts predicting it’ll be March when we truly begin to see key impacts become evident.

Analysts at stockbroker Morgans said that although most retailers could take care of a one or two-week delay, closures extending to a month or more may have deeper impacts.

As factory workers begin to go back to work, Chinese providers are already believed to be prioritising their biggest customers first, leaving smaller and mid-tier retail customers to wait.

Risk #2 — Consumer Demand & Sales

“We have seen a material decline in foot traffic at some of our key centres since late January 2020….particularly where There’s a high percentage of international visitors” Grant Kelley, CEO of Vicinity Centres

China is Australia’s largest inbound market with visitors spending $12.3 billion each year annually. Chinese tourists and international students spend more at Australian merchants than other nationalities, which means that the government’s continuing travel ban, announced on 1 February, will also damage retail industry.


To make things worse, there’s also evidence of an overall drop in footfall from Australian residents that are wary of the dangers of visiting densely populated shopping places while the virus remains at play and spending their earnings while the economic outlook is volatile. Economists have described the Australian dollar as the”whipping boy” for international coronavirus fears. ANZ Bank has warned it could lead the Australian market to endure a quarter of negative GDP growth and a sustained period of low consumer confidence.

Furthermore, Australian retailers that also rely on purchases from customers residing within China — if that’s from eCommerce or physical existence in the nation — are also likely to see a slump in demand.


So how can retailers lower their exposure to those supply and demand issues; and protect themselves from future recurrences?

It’s going to be hard for any Australian merchant to foresee precisely what, when and how the Coronavirus and the resulting situation in China will affect their particular business operations. Therefore, preparing a specific, rigid action plan upfront and hoping this will be all that’s required to react as the consequences play out is very likely to be futile.

An Unpredictable Situation Requires Agile Management Capabilities

Rather retailers need to be agile and responsive to the situation as it ends up ensuring that they:

  • Intimately know and have latest data in their key business metrics and operations so that they can quickly calculate the profitability impact of challenges as they arise and the decisions they can take in response
  • Have responsive management systems, technology and organisational structures to ensure accurate data and information that is critical to executing and making decisions is moved throughout the organisation in a timely and efficient manner
  • Continuously monitor their internal operations and external market signs to increase the amount of time to formulate a response
  • Collaborate as a staff and explore a wide range of Possible scenarios and answers so that some can be addressed using a pre-agreed activity plan if they plan out just as expected

Minimising Exposure to Supply Shortages

The ability to rapidly restructure your purchasing decisions based on which products can be found; and which will offer the maximum profitability and market through is crucial.

The merchants who will be best positioned to minimise risks to their stock supply over coming weeks and months are the ones which have comprehensive understanding and real time intelligence on their stock and earnings metrics across their product portfolio and sales channels.

With specific products delayed, the capability to rapidly restructure your purchasing decisions based on which goods can be found; and which will offer the maximum profitability and market through is crucial.

Many Chinese suppliers are re-prioritising customer shipments based on order volumes and purchase prices. Consequently, you want to understand for each product line and SKU in the event that you can or can’t afford to raise your bid to be in the front of the queue or, conversely, experience a massive delay with no neighborhood sell through for weeks.

It might also be necessary to review stock availability from other countries. Again, understanding which SKUs it’s most important to guarantee inventory coverage, can help to prioritise such sourcing reviews, and inform what purchase price range and landed cost is acceptable. Agile retailers who have been able to discover alternative, reliable sources for goods could even provide value-added services like special orders so clients can still supply the goods they desire, and a sale could be procured.

Retailers must also ensure they always manage their current inventory across channels as economically as possible. If scarcity of distribution becomes apparent, the capacity to understand what inventory is available across your system and (re)allocate it into the most profitable stores which have really moved some — or move / fulfil from 1 place to where a sale opportunity happens — is an integral capability.

Identifying your key SKU’s and lines which are under threat of distribution, is crucial for bettering your marketing direction and spend. Wasted marketing on inventory which will come under fire will overtake as the weeks go by. Retailers with an understanding of supply chain levels across all of their stock are then able to leverage their advertising across different regions of their stock and adapt their brand message to match. This can help minimise wastage of advertising spend, minimise poor customer experience and expectations around depleted stock lines, and increase sales return and customer satisfaction on accessible identified stock.

Additionally, this is a useful time to expose different areas of your company to clients who previously have not engaged with a specific stock line, and offer alternative solutions to their requirements. By identifying clients who have previously bought particular items based on characteristics like size, color, brand, gender, age group, birthday month, favourite sporting teams or preferred accessories, you can urge relevant product lines you’ve got a definitive source of, or handle the current source as it dwindles.

So as to take an agile approach to stock management based on the exact situation that presents itself, retailers need to have accurate, shared, real time and on-demand data and dashboards on a wide range of key metrics such as:

  • Sell through rates
  • Stock turns
  • Weeks of Stock Cover (by different time intervals including 4,6,8 and 12 months )
  • Daily Run Rates
  • Days on Hand
  • Gross Margin
  • Gross Margin Return on Inventory (GMROI)

These metrics will need to be instantly available at a high level of detail down to individual SKU level and stores/channels.

Streamlined and automated business processes that then leverage this information and permit purchasing, inventory and other operational decisions to be implemented rapidly will be basic to staying agile and responsive.

Minimising Exposure to Consumer Demand Shortfall

When there’s a possible downfall in customer demand, a focus on customer experience becomes crucial to keep your share of each cent of spend that’s still being made. The last thing you need is for regular, loyal store traffic to leave you at this point in time.

Agile Inventory management can be an integral base in maintaining continuity of your customer experience by ensuring that the goods and specific brands, sizes, colors or other variants are available to clients in the ideal stores. If the simple proposition of providing stock availability of the products customers want is not held up, other emotive elements of the shop experience will probably not rescue the sale.

Now more than ever, Australian merchants will also have to make sure they change from a dependence on one-off customer transactions and implement programs that boost repeat purchases and long-term devotion. With most retailers already sitting on a significant database of consumers, they will need to think creatively for ways to encourage them to make additional purchases. Personalised email campaigns, loyalty program offerings and promotional incentives based on detailed profiles of consumers and their buying history will be lower cost and yield a higher success rate — particularly given if purchases can be made online in a time when some customers wish to avoid densely populated shopping precincts.

See also

  1. knowledgebase/close-a-shift/
  2. /knowledgebase/setting-up-your-outlets/
  3. knowledgebase/setting-up-your-register/

For every store visit that’s made, retailers will need to make sure they capture the essential details to execute these client development programs on a continuous basis. Getting a return on the purchase costs of new clients by maximising lifetime value will become crucial.

Handling the’state of mind’ of your team is a vital factor going forward through 2020. Making certain your staff understand the strategies and willingness to handle the challenges the Coronavirus represents provides a confidence across the whole retail company and ensures that a positive mindset and support expertise is introduced to store visitors.

One-to-One Supply Chain Strategy Session

Working with over 5000 retailers across Australia & New Zealand, we are in a special position at Retail Express to watch and help implement a number of the most recent best practices in omni-channel management.

Over the past couple of weeks we’ve had conversations with a number of these retailers on the best approach to take care of the consequences of the Coronavirus. Innovative solutions have emerged from these discussions, providing confidence that there are ways to offset some of the critical challenges.

In this unpredictable time in retail, we would welcome talks with any business professional to explore the consequences and share possible strategies for your company. Simply reach out to us and we can arrange a time that suits you.