A recent Christian Retailing Vital Signs industry survey found a large number of stores reducing the number of SKUs they carry, cutting their direct publisher orders and reducing shipment quantities, while using more frequent distributor deliveries to replenish their shelves.

Spring Arbor Director of Sales Chris Smith said that the business was "definitely seeing a trend toward stores keeping their inventory lean while relying on a just-in-time inventory management approach." SA had added 350 ship-to locations last year and was seeing an "overwhelmingly positive" response from stores to its expanded gift selection.

"We have seen our retail partners rely more heavily on us in the past couple of years," said Smith, noting that retailers were reducing inventory and increasing turns, while also making backroom savings. "All of these factors are more critical in today's tough economic environment where both store staffing levels and inventory dollars are under pressure."

Glenn Bailey, president of STL Distribution North America noted that the overall size of individual orders had fallen in the last few years as stores slimmed their in-stock levels. He said that some stores were ordering more often, though—a trend also observed by Michael Turner, director of product acquisitions for New Day Christian Distributors.

The company had seen significant growth in accounts since expanding its product offering beyond its well-known music catalog, notably with children's toys and games, he said. CD and DVD recordings of popular author Charles Stanley's In Touch sermons were among recent additions, making them broadly available to Christian stores for the first time.

Read more in the May issue of Christian Retailing.