Retail and Merchandising: A Toy Story P2—What Was the Difference Between Restocking 2 vs 3 Times During the Holiday Rush

Overstocking and understocking are two main conditions many brands face. We highlight this in our case study published in March of 2023, where we talked about how we saved a toy company by analyzing their stockouts just at the peak of the holiday shopping rush. The brand’s products were in two major Canadian retailers, making it a total of 385 stores, which we visited to see the stockout rate.

70% of the shops had products on shelves, but more than 30% still needed to. This may be because items sell out fast during holidays and leave little to no time to restock them on shelves, causing stock replenishment challenges.

A Retail and Merchandising Intervention

We found that many shoppers search for specific items but may not receive assistance if those items are not well-stocked. The problem is not in the stock but in their regular placement of the products from the backroom.

We concluded that it’s essential to restock a couple of times before and during the holiday season to ensure products are in the right place.

  • The first and second restock: This must be strategically timed closer often before the peak of the holiday season. This ensures that the initial group of shoppers, who are often excited and eager to buy, find the products they’re looking for and aren’t disappointed with empty shelves.
  • The third restock: This must be strategically timed closer to major holiday events. This allows shoppers to find popular items even for last-minute gift options.

The triple restocking strategy can help to adjust inventory issues based on early shopping trends and consumer preferences. This ensures customers are treated and welcomed with the fresh stock and the product shelves are never empty.

What is in it For Retailers?

Through our efforts, we analyzed the same pattern in a couple of our brands and analyzed that it’s highly difficult for retailers to cope with the demand during the holiday rush. Store audits always help to restock shelves that may have gone unnoticed due to the constant surge in holiday sales. Additionally, at the conclusion of the holiday season, these efforts help to analyze the product’s performance, especially if they were displayed on the shelves.

A retail store that goes the extra mile to ensure a well-stocked shopping experience during the holiday rush stands a better chance of earning repeat business and positive word-of-mouth recommendations.

Marketsupport—The Support You Need

We all know that predictions don’t work, especially if there are hundreds of thousands of dollars worth of product value sitting in the backroom.

Marketsupport, a leading retail and merchandising company, ensures you meet your demand and exceed expectations, especially during the holiday rush. We can help you with retail visits to make sure your products are never empty on the shelves again.

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