Strategic Solutions for Toy Importers: Getting Rid of Old Inventory and Closeouts

Let's be honest—there's nothing worse than walking into your warehouse and seeing stacks of toys nobody wants anymore. If you're a toy importer aiming to offload excess stock, I totally get your pain. One day you're riding high on the latest trend, and the next you're desperately looking to get rid of closeouts and empty discontinued merchandise that retailers won't touch with a ten-foot pole.

One of our closeout suppliers was recently faced with unloading surplus goods after Target canceled a huge order on them, with barely any notice. Suddenly they were looking to sell surplus closeouts that were made specifically for their Christmas promotion. Talk about a nightmare!

Sound familiar? Whether you're fighting to maintain profitability because the market shifted or you're liquidating inventory due to steep tariffs damaging earnings, the pressure to turn those toys into cash is real. Before we dive into solutions, let's talk about how toy importers typically end up with warehouses full of stuff nobody seems to want to buy.

Sometimes it's because that superhero movie toy line was supposed to be a blockbuster, but the movie flopped. Or maybe you bet big on a trend that fizzled faster than expected. I know several importers who ended up acquiring remaining stock from a closed business, thinking they got a deal, only to discover why that business closed in the first place! Sometimes, a good place to look for inventory liquidators is by doing a simple search online. Consider using terms like these: getting rid of closeouts, keen to clear stock from warehouse, need to make room for new products arriving, shutting down warehouse, going out of business, looking to get excess inventory off my hands, offloading abandoned inventory, getting rid of unwanted inventory, moving to a smaller warehouse, shutting down operation end of the year.

For many of us lately, it's been about liquidating inventory due to steep tariffs damaging earnings. Those tariffs hit hard and fast, turning profitable items into margin-killers overnight. Whatever your reason for disposing of aged warehouse products, how you handle it can mean the difference between a manageable loss and a complete financial disaster. If you've just realized you're wanting to get rid of inventory in bulk quantities, take a deep breath. Then grab a clipboard and start categorizing what you've got:

How old is it? What condition is it in? Does anyone still care about this product line? Could it sell during a particular season? What did you pay, and what could you reasonably get for it now? William Alexander was downsizing to smaller warehouse space last year. He said, "When I finally got everything organized , I realized about 30% of my inventory wasn't nearly as dead as I thought. The rest? Well, that's when I needed to get creative, search for inventory liquidators and get serious about offloading all this inventory I didn’t need.”

This kind of honest assessment helps you see exactly what you're dealing with. No point in kidding yourself at this stage! Before you start panicking, call your regular closeout and overstock buyers. Many retailers will bite at a steep discount, especially on items that aren't completely obsolete.

A friend recently told me, "When I found myself looking to get inventory off my hands after closing my West Coast operation, I called my top 20 customers and offered them packages at 60-70% off. They took about a quarter of my excess. Not great, but at least it was quick cash without much hassle." If you're truly desperate to empty discontinued merchandise because you're prepared to vacate complete warehouse space ASAP, liquidators are the fastest route.

My friend Annie went this route when downsizing to smaller warehouse. She told me, "Look, it hurt to get only 10 cents on the dollar, but they handled everything. They brought the trucks, loaded everything up, and I had money in my account a week later. Sometimes you just need to rip off the Band-Aid."

These excess inventory purchasers required minimal work from you, but brace yourself for the lowball offers. Still, when time matters more than money, they're hard to beat. Got a bit more time and looking to sell surplus closeouts? Check out online B2B marketplaces designed for getting rid of excess inventory and offloading bulk closeouts and discontinued products.

When those tariffs hit, every company was scrambling. Through Liquidation.com and BoxFox, it is possible to find inventory liquidators and closeout buyers from smaller markets who might be thrilled to get branded toys at 40% off. It can take longer to move everything, but the recovery could be better than what liquidators offer.

These platforms are particularly good if you have recognizable brands or items that were trendy recently.

Remember jobbers? These old-school middlemen are still around, and they're fantastic for distributing closeouts to discount stores, dollar stores, and those weird seasonal pop-up shops. This is where you may want to look if you are trying to offload dead inventory and get closeouts off your hands quickly.

If you are liquidating toys, you may want to work with different jobbers, each with their own specialty. One guy might deals with action figures, another takes educational toys, and the third focuses on games. Between them, they can clear out about 70% of what you have. The big advantage with jobbers is they know buyers you'd never find on your own. When fighting to maintain profitability, don't overlook donations. The tax write-off can sometimes be worth more than liquidation proceeds.

One toy importer told me "I had these science kits that liquidators were offering pennies for. My accountant suggested donating them to schools instead. The tax deduction was worth about three times what liquidators offered." Organizations like Toys for Tots, children's hospitals, and domestic violence shelters often welcome toy donations, especially around the holidays. This just might be a better option than having and inventory liquidation for pennies on the dollar, and you still get to offload inventory in bulk and clear out warehouse space.

Here is a further thought about successfully emptying outdated goods:

Mix the good with the bad: When aiming to offload excess stock, throw some desirable items in with the slow movers. It makes the whole package more attractive. Think about timing - If you're not immediately shutting down entire operations, hold seasonal items until their season approaches. Those Christmas decorations worth nothing in February might fetch a decent price in October. Make it look good - Even when desperate to empty discontinued merchandise, take time to organize and present your inventory well. First impressions matter, even in liquidation and when offloading unwanted inventory.

Be realistic: Most companies liquidating inventory get between 10% to 20% of wholesale value in closeout scenarios, so set your expectations accordingly. Document everything - Keep detailed records for tax purposes, especially when liquidating inventory due to steep tariffs damaging earnings.

If you're just downsizing to smaller warehouse or moving to reduced storage space rather than leaving the business entirely, learn from this experience. Olivia Wong, who's been importing longer than almost anyone I know, told me, "After my first inventory disaster, I completely changed how I buy. I now use much more conservative projections and I actually build potential liquidation costs into my initial pricing. It's saved me countless headaches, and I don’t have to offload as much overstock inventory and closeouts.

Smart strategies for the future include:

Getting return options in writing before placing big orders. Using just-in-time practices wherever possible. Reviewing inventory monthly to catch slow movers early. Building relationships with inventory liquidators before you need them desperately. Finding yourself prepared to vacate complete warehouse spaces full of toys nobody seems to want is rough. But with some strategy and hustle, you can minimize the damage and live to import another day.

Whether you're looking for ways to move closeout goods because the hot trend cooled off, or you're liquidating inventory due to steep tariffs damaging earnings, try multiple channels simultaneously. A combination of discounts for overstocked products, inventory liquidators, online marketplaces, jobbers, and strategic donations usually works better than relying on just one approach. In the toy business, today's hot item is tomorrow's closeout. Plan accordingly. By expecting and planning for eventual liquidation, you can turn a potentially business-killing inventory crisis into just another bump in the road.

Merchandise USA is an overstock inventory buyer specializing in buying overstock merchandise, abandoned inventory, closeouts, surplus inventory and unwanted inventory. Call us today If you are keen to clear stock from your warehouse, or downsizing your warehouse or get rid of inventory. Too much old inventory sitting in the warehouse can affect your bottom line and potentially hurt your business. If you're looking to empty discontinued merchandise because you're prepared to empty your warehouse, inventory liquidators are the fastest route.