Is it worth storing products? This, of course, depends on the ratio of their value and the margin possible to all storage costs. You should also remember about the changes in the value of goods over time – unfortunately, most often we deal with its decrease. ”Cost of storage in time” is discussed in a separate article. What else can we do with merchandise that has already saturated the market? You can read about preventing unnecessary stock lots in the “Surplus merchandise – how to get rid of the trouble? (part 1)”. In this part we focus on the pros and cons of the different methods of disposing of the goods once these surpluses have arisen. We will look at the strategy of giving away, waste utilization and resale to agents.
Worth of giveaways
On the one hand, in general, people like to receive bonuses and freebies. However, do we always value what we get for free? Unfortunately, this is not always the case… To appreciate such a gift, we must either see it as an actual material benefit, or feel truly distinguished (psychological benefit). Again, a good knowledge of the needs of our target group and regular customers is necessary. Careless distribution can even harm our relationships with customers (e.g. those who paid for it earlier), reduce the subjective value of our offer and increase their pressure on future pricing policy.
Inventory disposal costs
Each industry and even each product category has its own rules. For example, the profits from scrapping or recycling certain products may prove worthwhile. Other times, disposal will generate additional costs. We can just throw some things away to the landfill, but apart from counting own expenses, it is also worth considering environmental costs. Especially if the products that do not interest our customers can be liquidated through alternative sales channels …
Sale of surpluses through agents
Our offer emerged from the needs of entrepreneurs looking for a way to quickly free the warehouse and recover money invested in products. Just call us and talk about the details. Within 24 hours we make a purchase decision, organize transport and make payments. This is usually the fastest and – apart from sale – the most cost-effective method of getting rid of surplus merchandise. Products do not get wasted, but they find lucky buyers through our company.