Dead stock takes up valuable warehouse space and is very costly to keep in the warehouse. We always recommend companies sell dead stock rather than let it sit in the warehouse where it becomes a burden. There are dozens of excellent liquidation companies that can liquidate merchandise buy either buying it from you outright, or working with you as a liquidation broker to help you find buyers.
The older merchandise gets, the more difficult it is to sell – at any price. When merchandise sits too long in the warehouse it begins to look old and dated; even liquidation companies may not buy old inventory that no longer has a fresh and clean appearancel. You can liquidate merchandise a number of different ways, but the key is to sell dead stock before it gets too old and nobody wants it. You can let your existing sales team discount the inventory to get rid of it, and this is probably the best way if it works. You can still get your cost back or maybe even a small profit, get rid of the merchandise, and move on with new and unique merchandise that your team is excited about selling.
You can also use closeout websites to post your closeouts for sale. The idea here is that you post online your offers for the world to see, and if you blanket a broad audience you may get some good hits. This is an effective way to liquidate merchandise if you can identify closeout websites that have a wide reach and target potential closeout buyers who have the ability to buy in large volume. Of course, this kind of sale would have to be paid for in advance before you ship, but if all goes well it is a good way to sell dead stock.
You can also contact liquidation companies to help you move the inventory. In this case you have to keep in mind there will be additional fees if you work with closeout brokers or liquidation brokers. They will charge you a fee to connect you to a buyer. If you find liquidation companies who will buy the products from you outright, where you ship and bill them directly, keep in mind they will be offering you lower prices for the benefit of selling everything in one fell swoop.
In any case, a quick Google search will turn up dozens of closeout websites and liquidation companies all capable of helping you sell dead stock. The key is to get rid of merchandise you don’t need, and don’t let old inventory sit around forever taking up valuable warehouse space. It never gets sold by accident or by itself and it will be in your way until you make a determined effort to sell it. So you might as well deal with it sooner than later and get it out of the way.
It seems we don’t always see this clearly, but don’t forget you are paying rent and insurance for everything in the warehouse, whether it is old or new and whether it is selling well or you never ship a piece. If every month you received a separate rent bill for all those pallets that just sit there from month to month, year to year, it would be more obvious. There is no point in keeping overstock, excess inventory and closeouts in the warehouse if you are not selling at least some of them on a regular ongoing basis.