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A lack of stock, also known as a “stock out-of-stock”, can mean not being able to satisfy all the demand for a product.
The identified user detailed in a post on Twitter that he tried to buy an Xbox Series S console at a Walmart branch in Mexico and could not buy it due to lack of stock.
Walmart data reveal that it is a company whose stock level covers, generally between 90% and 95% of the demand of its customers.
The Christmas season for many brands is the most anticipated date of all. The increase in sales in the month of December can be seen compared to other months of the year, but there are also headaches for stores such as lack of stock, which can affect each one of the sales.
In most cases, companies forecast the demand for a certain product based on monthly or annual sales of previous periods and years. However, this method is, on many occasions, incorrect, since orders that have not been fulfilled due to lack of stock and that have led to the loss of one or more potential sales are not being taken into account.
According to data from specialists, the lack of stock, also known as “stock out-of-stock”, may mean not being able to satisfy all the demand for a product; In turn, the loss of an order can cause the loss of one or more potential customers, who see the competition as a very good alternative to satisfy their needs.
The history
Such is the case of a consumer from Walmart who ended up buying the item he wanted at Sams Club due to lack of stock in the most important retail stores in the United States and Mexico.
The user identified as @oteiNorutrA detailed in a post on his account on the social network Twitter, that he tried to buy an Xbox Series S console at a Walmart branch in Mexico and could not buy it due to lack of stock, so he resorted to buy it in the Sams Club store at a higher price.
“@WalmartMexico I tried to buy my #XboxSeriesS console with you today, I called you, contacted you by phone and WhatsApp, even through Twitter and they couldn’t give me a solution, I had to buy my console at @SamsClubMexico, more expensive by the way but well, if there was stock, “says the consumer in his tweet.
@WalmartMexico I tried to buy my console from you #XboxSeriesS Today, I called them, contacted them by phone and WhatsApp, even by Twitter and they could not give me a solution, I had to buy my console in @SamsClubMexico , more expensive by the way but hey, if there was stock. pic.twitter.com/uSELzws9ob
– Arturo Nieto (@oteiNorutrA) December 29, 2021
As this one related in social networks there are many more, where consumers prefer to look for their product in other brands due to problems like this, or also because they receive bad service. Customers leave, and do not return if they do not find what they want, as the data reveals that a company can lose a good part of its turnover for this reason.
Walmart data reveals that it is a company whose stock level covers, generally between 90% and 95% of the demand of its customers.
However, specialists in the field assure that even though these percentages may seem very high, It is estimated that the American company could be losing between 1,300 and 2,500 million dollars annually in potential sales due to lack of stock. This latest estimate is based on an inventory level of $ 25.8 billion reported in its 2012 annual report.
This figure also includes the potential lost sales due to customer dissatisfaction when we talk about the consumer experience.
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