How to sell overstock inventory

Overstock, commonly known as excess stock, can be a problem if not dealt with. Many businesses find themselves with overstock merchandise, in this blog we are going to cover how to sell overstock inentory.

Why is overstock inventory a problem?

The main issue with overstock is the added storage costs. By not dealing with surplus stock head on, you have less room for more profitable products. The excess stock issue never really gets better unless you take action.

Overstock Inventory is the leftover inventory once a product reaches the end of its intended product cycle, posing a significant challenge for businesses across various industries. Whether it's clothing or homeware, managing this overstock inventory is costly, both in terms of storage and disposal. Factors like inaccurate sales projections and wider economic difficulties often contribute to the accumulation of surplus stock, highlighting the need for effective management strategies to mitigate financial losses and environmental impact.

Addressing overstock requires proactive measures to minimize storage costs and reduce waste. By implementing inventory management systems and exploring innovative ways to liquidate excess inventory, businesses can mitigate the burden associated with surplus stock. 

The 7 Ways To Sell Overstock Inventory Are

Liquidation Companies

Liquidation companies such as Pink Liquidation are a great choice for quickly selling off overstock inventory, but be prepared, you will get a low sum by selling to a liquidation company, and usually for a good reason as these items are slow selling.

Although not the most lucrative approach, liquidation offers a swift solution for dealing with excess inventory. However, engaging a liquidator typically involves additional expenses, such as courier fees if you're unable to transport the products yourself. It's crucial to assess the value of your inventory before entering negotiations with a liquidator to ensure you receive the most favourable price possible.

B2B Marketplaces

B2B marketplaces designed specifically for wholesale excess/overstock inventory are a great option for people whose products have some demand, such as the UK’s Wholesale Clearance Marketplace.

These excess stock marketplaces are a good middle ground for people who want to move their stock quickly, but also not receive pennies for their overstock.

Online Retail Marketplaces

Leveraging online platforms like Amazon and eBay presents a viable solution for businesses with limited inventory, unable to meet liquidator bulk requirements or B2B excess stock marketplaces. Particularly beneficial for small enterprises, these platforms offer access to a broader customer base, allowing businesses to directly connect with consumers seeking their products. 

Success depends on competitive pricing. By strategically pricing products to balance profitability and affordability, businesses can optimise their selling experience and leverage these platforms as valuable tools for liquidating excess inventory.

Discounts

Leveraging discounts on your own online store, typically between 30% and 80%, can effectively boost sales and clear excess inventory. Strategies include clearance sales, seasonal promotions, and flash sales, each tailored to different needs and timing. However, caution is advised, especially in luxury markets, where excessive discounts can harm brand perception. Balancing attractive discounts with brand integrity is essential for long-term success.

Bundles

Bundling products is a popular strategy for businesses to efficiently liquidate inventory by creating packages of related items or combining products with varying sales. This encourages customers to make larger purchases, and reduces excess stock. Careful consideration of bundle composition, aligned with customer preferences and market demand, is essential for success. 

Repackaging

Repackaging may include redesigning product packaging or bundling complementary items to increase the perceived value. Repositioning involves reassessing market positioning and adjusting sales approaches and product placement to improve sales. These proactive measures aim to rejuvenate struggling products and increase the revenue potential.

Online auctions

Online auctions can be great if you just need the stock gone. Using these auctions usually returns the lowest possible price, so the types of people these are most suitable for are those where they don’t really care about price, they just need convenience/excess stock cleared