What To Do With Surplus Stock
Surplus stock can be a real headache as it takes up space and locks up cash that could be used elsewhere. It is a common issue at the start of the year, after the holiday period is over. Your strategy will depend on the nature, shelf-life and seasonality of the goods in question, so not every suggestion will apply, but here are some ideas to help you find ways to clear overstock efficiently:
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Get creative with your special offers. Depending on the value/size of the products you may be able to create bundled offers (eg. Buy a case of these and get a case of overstock for half price). Create a Clearance page on your wholesale website, and promote it to all visitors. Make the stock easy to find and buy.
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Use Minimum Order Quantities and you will clear larger quantities more quickly.
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If you are desperate to clear the stock, and you aren't averse to sale or return or dropshipping, both are options to suggest to selected retailers. It is pretty risk-free from their perspective as they will only pay you if they sell the stock.
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There are businesses out there that will take surplus stock and (for a fee), warehouse it, sell it, and pay you for whatever they have sold. A quick Google will bring up businesses in your sector.
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You may be able to find new stockists that specialise in end of line, discount items. This is a growing sector and most product types are catered for.
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Approach a complementary subscription business to see if they would like to purchase stock to pass on to subscribers.
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Depending on your product, donating, scrapping or recycling may be an option as a last resort.
Of course, if we all had crystal balls this wouldn't be an issue. Even the most careful inventory management can result in overstock, but we still have to acknowledge that good inventory management processes will help to avoid serious surpluses in stock.
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