FAQs About Commodity and Meachandise Warehouses The following questions are often asked about commodity and merchandise warehouses:
What are the benefits of storing merchandise in a warehouse?
Retailers often used warehouses to store their products that they sell in their stores. Why? Because when these products are bought at wholesale, the best prices are offered when they are sold in bulk amounts. So while a retailer many only a few products on display at his store, he keeps most of them in a warehouse. Depending on the size of the store, the warehouse could be a small space rented from a company, or a large building completely owned by the business.
How do I store cold merchandise?
Cold merchandise that must be kept at certain near-freezing or frozen temperatures, like dairy products and frozen foods, needs to be stored in a cold storage warehouse. This type of warehouse often rents out its freezers to different businesses, such as retail grocery stores who need additional storage space. Cold storage warehousing is slightly more expensive that other warehouse rentals simply because of the additional electricity needed to keep the items cold.
How do I manage the commodities in the warehouse?
It’s no good having items stored in the warehouse if you cannot find them again. Most businesses employ some type of tracking software, where an item is scanned upon arrival and its location automatically entered into a computer. When the item is needed again, its location can be quickly found on the computer. Warehouses that do not use computers often follow a pre-set organizational structure so that their products can be found.