Published Last updated Written and reviewed by the Resale Intelligence team
On this page
A warning when too much of your stock capital sits in one model, since a price drop would hurt badly, plus ways to lower the risk without stopping sales.
- Who can do this:
- Owner, Store Admin, Manager, Supervisor-Approver, Appraiser, Inventory staff, Accountant, Auditor (role defaults; the owner can change them)
If most of the money in your stock sits in one model, a price drop on that model, for example when a new model launches, hurts the shop all at once. So the system warns when the capital in stock is concentrated too heavily in one model.
When the system warns you
-
The system adds up the capital tied up in every device the shop still owns, then finds the model holding the most.
-
If that model holds a share of the total stock capital above the system's limit, a Needs attention card appears.
-
A shop with very little stock is not warned about this, because the share means little.
-
The system counts by model; it does not split by spec or storage.
-
If you are working in one branch, the system looks at that branch's stock only.
What the card tells you
The card title gives the model name and its share of capital as a percentage. The text below gives the number of devices and the total capital in that model, with a suggestion to slow down buying it. The View stock value button opens the stock value report, split by branch and category.
This card reveals cost, so it shows only to members with View cost and profit, and it is not sent as a morning notification. You see it on Store Intelligence and in the Needs action section of the Overview.
What to do
-
Open the Model performance & Days-to-Sell report to see how fast this model sells. If its Days-to-Sell is short and its Sell-through is high, the risk is lower than for a slow model.
-
Slow down buying this model until the share falls, or buy only devices offered clearly below Safe Buy.
-
If some devices of this model are starting to sell slowly, sell them first, even at a lower profit.
-
Watch for news of the brand's next model, because second-hand prices of the current one usually fall once it is out.
Why capital, not number of devices
A few expensive devices can hold more money than dozens of cheap ones. The damage from a price drop depends on the money tied up, so the system uses each device's total cost, not its list price.