The retail paradox: stock available, but sales lost
Retailers often face the frustrating paradox: systems show a product is in stock, but the customer can’t find it in-store or order it online. This so-called “phantom stock” leads to missed sales, disappointed customers, and damaged brand loyalty.
The root cause? Poor inventory accuracy and a lack of integration between the shop floor, stockroom, and webshop.
The true cost of inaccurate inventory
Studies show that average inventory accuracy in retail is only 60–70% (GS1 / Auburn RFID Lab ; McKinsey). In practice, this means 3 to 4 out of 10 products are incorrectly registered. The consequences are serious:
- Out-of-stock situations despite available stock
- Inefficient processes as staff spend time searching for items
- Unnecessary markdowns and write-offs
- Lower customer satisfaction and reduced loyalty
- Retailers may invest heavily in marketing and omnichannel strategies, but without real-time inventory visibility, these efforts fall short.