Let’s be honest: small supermarkets don’t have the same resources as big chains. But that doesn’t mean they should count themselves out. Supermarket management software is helping them compete with bigger rivals in ways they couldn’t dream of before.
So, why doesn’t every grocery store use supermarket management software? Understandably, some store owners aren’t confident in using new technology, are worried about setup costs, or are concerned it will disrupt their established ways of doing things.
But, as customer demands shift and expectations for faster service become the norm, supermarket management software is vital for staying competitive and profitable.
In this article, we’ll go over the top reasons to adopt a modern supermarket management solution in your small business.
What is Supermarket Management Software?
Despite the name, supermarket management software doesn’t manage your store for you – it’s meant to empower you to do more. In short, it’s software that helps automate and streamline various day-to-day processes like:
- Inventory management
- Restock orders and vendor management
- Label printing
- Employee and register management
- Back office reporting
Many leading solutions also follow security best practices, ensuring any sensitive customer and employee information stays safe.
In addition to assisting with your daily operations, supermarket management software can help you modernize your business with value-added features like customer loyalty and online selling capabilities.
Related Read: How To Operate an Independent Supermarket: 5 Tips
Top 7 Reasons Supermarket Management Software Benefits Your Business
Now that you have a basic idea of what supermarket management software is, the real question is, why do you need it? There’s no one-size-fits-all answer, and it can depend on your store’s unique strengths and needs.
But here are our top 7 reasons why implementing a supermarket management solution will benefit your business:
1. Drives Customer Loyalty
It can be hard for smaller grocery stores to capture new customers and retain them. However, technology is leveling the playing field in a big way.
Discounts and customer loyalty programs encourage repeat business while driving more revenue. Supermarket software gives you room to be creative with your promotions, thanks to customizable customer loyalty and discount features.
Here are just a few customer engagement ideas to roll out at your supermarket:
- Points program: Let customers earn a certain number of points for certain purchases which can be exchanged for discounts, free products, or other benefits.
- Membership: Sign customers up for a membership that offers exclusive discounts and early access to certain products. Or, set a spending threshold so you’re reminded to invite your most loyal customers automatically.
- Subscriptions: There are always a few items that people need to buy regularly. Setting up a subscription for specific items (paired with a discount) creates recurring revenue and is convenient for customers.
- Newsletters: Newsletters are a great way to showcase your personality while offering customers exclusive discounts and offers.
These are just a few ideas, but if you use a flexible system, you can customize your own promotions.
2. Streamlines Inventory and Vendor Management
Grocery stores operate on thin profit margins. With effective inventory management, you can increase profits, boost efficiency, and better meet customer needs. However, manually entering your stock and putting together orders for vendors is error-prone and can lead to frustrated customers if stock runs out.
Related Read: Grocery Store Inventory 101: The What, Why, and How for Inventory Success
Supermarket management software has various inventory-specific features to streamline your entire process – from receiving and audits to purchase orders and everything in between. Some of the most useful features include:
- Streamlined receiving and barcode Scanning: Use a handheld device to scan items or receive against an existing order.
- Low stock thresholds: Set custom alerts for stock thresholds, ensuring you are always stocked with your most popular items.
- Quick purchase orders and invoicing: Easily create purchase orders in whatever format you need and automatically invoice based on what you actually received.
- Real-time stock tracking: With real-time visibility of your stock, you can see what’s running low, what’s most popular, and what’s been sitting on the shelf.
Streamlined inventory management gives you and your employees more time to focus on great customer service and strategic tasks.
3. Takes Your Grocery Store Online
The popularity of online grocery shopping exploded during the pandemic, and now more people than ever love the convenience it provides.
Online sales are a great way to boost revenue and improve the customer experience. But running your brick-and-mortar shop and a fully separate e-commerce system can be a hassle that leads to more problems than it’s worth.
Supermarket management software gets over this hurdle by integrating your physical inventory and sales with an online website. With an increasing number of people looking for local grocery options, an online store is a great way to combine a modern shopping experience with local charm.
Related Read: 6 Online Grocery Shopping Trends to Watch
4. Boosts Efficiency for Smoother Customer Experiences
People love the appeal of local supermarkets. Pair that with a faster, more convenient customer experience, and you’ll become a local favorite in no time.
Leading supermarket management solutions include various ways to optimize the checkout process, such as:
- Flexible payments: Accept various payment types including cash, credit cards, and mobile payments for a faster, more convenient checkout experience.
- Reliable payment processing: Speed up transactions and save time when customers are in a rush with built-in payment processing.
- Self-checkout support: Invest in self-checkout kiosks to help take the pressure off of your staff during peak hours. In a recent survey, 43% of customers preferred self-checkout to a traditional checkout line.
Combined with effective staff training, supermarket management software with a comprehensive point of sale (POS) system can make your staff more efficient and your customers happier.
5. Avoids Downtime and Increases Flexibility
If your payment or other grocery store management systems go offline at a key time, it can grind everything to a halt. There’s nothing worse than the stress of being held hostage by a misbehaving device or random internet outage.
Leading cloud-based systems can be used from any device and are designed to work even if the internet is down. This gives you more freedom to run your business from wherever you are and reduces the risk of disruptions.
In the case of payment processing, if you’re offline, you should still be able to take payments and sync them once your system is back online.
6. Enables Smarter, Data-Driven Decisions
Every grocery store owner wants to get into their customers’ heads. Imagine being able to know exactly where to place your top sellers and what kinds of products are most popular.
Reporting tools in supermarket management software make this dream a reality. Custom reports give you actionable insights into customer preferences and trends. For example, you could answer questions like:
- How does a product sell in the winter vs. the summer?
- What departments are most profitable? What days are they busiest?
- What items are top performers? What are the non-movers?
- How did my weekly discounts perform?
Using a data-driven approach, you can make meaningful adjustments to your store and uncover what’s working and what’s not.
7. Reduces Shrinkage
We get it. No one wants to talk about shrinkage. Whether it’s from an honest mistake, shoplifting, or employee theft, shrinkage makes already thin profit margins even thinner.
In addition to installing product tags or putting in security cameras, modern grocery store management tools have several useful ways to combat shrinkage.
- Employee management tools: Know where employees are working and control which systems they have access to.
- Real-time inventory visibility: Monitor stock levels as inventory arrives and quickly perform audits to spot errors or avoid spoilage from stock that’s been sitting too long.
- Consistent return policy: Implement a return policy at the software level to avoid scams like return fraud.
What Are the Top Supermarket Management Systems?
Adopting supermarket management software is an easy way to modernize the customer experience and boost your efficiency. But which solution is right for you?
In addition to our leading grocery POS solution, we also have a few recommendations for supermarket management software.
Here are our top 4 choices for growing supermarkets:
1. IT Retail
IT Retail is our top-rated solution for small and medium-sized grocery store owners. Built by a third-generation retailer, it comes with many user-friendly features that grocery store owners love.
IT Retail caters to smaller chains and businesses, so it lacks the more expensive bells and whistles that large chains need. However, it comes with a lot of customization and excellent customer support.
Some of IT Retail’s top features include:
- Advanced inventory and vendor management
- Options for hardware (including self-checkout)
- Customizable customer loyalty programs
- Deli-scale integrations
- Custom reports
- Online sales
2. Microsoft Dynamics
Microsoft Dynamics is a powerful retail management solution with advanced features that let you customize how you run your business. Microsoft has also gone all-in on AI, including in their products for retail businesses.
While it can require a bit more technical know-how, Microsoft is built for enterprise-scale operations, making it a good fit for a rapidly growing grocery operation.
Some of Microsoft Dynamic’s features include:
- Robust reporting and analytics
- AI-powered tools to predict customer intent
- Built-in payment processing
- E-commerce features
3. POS Nation
POS Nation is a well-established brand that helps grocery stores streamline their business. This is another great option for small or growing businesses looking for a user-friendly way to modernize their operations.
POS Nation comes with several great features, like:
- Custom reporting tools
- Employee management and payroll
- Streamlined inventory and vendor management
- Scale integration (including deli scales)
- Flexible pricing options
4. Lightspeed
Lightspeed HQ is a Canadian-based company that offers store management and POS solutions for retailers. While not purpose-built for grocery store owners, it does include some great features:
- Personalized workflows
- Real-time inventory visibility and tracking
- Customized reports
- Automated marketing tools
- Serialized inventory support
How Do I Pick The Right Software For My Supermarket?
Choosing software for your business is not a trivial task. It will take some time to implement it and more to get your employees trained on it. So don’t rush. Make a list of questions that pertain to your specific challenges and schedule a few demos.
In short, take the time to find the right fit. You’ll be glad you did.
Boost Sales and Customer Loyalty With a Leading Supermarket Management Solution
We won’t lie: implementing supermarket management software can come with some growing pains. But if you fully embrace it, it can bring massive benefits for both your business and your customers.
But technology and customer preferences change all the time. That’s why it’s important to work with a technology partner focused on your long-term success.
IT Retail is a cost-effective, user-friendly option that grocery store and supermarket owners love. Built by fellow retailers with over 25 years of grocery store experience, IT Retail is uniquely equipped to help small supermarkets thrive.
Schedule a demo today to find out how IT Retail can level up your business.
