Most stores are slashing Christmas inventory prices by up to 75%. Holiday merchandise like clothing, mugs, or towels are also marked down significantly. For small businesses, it’s not viable and requires more out-of-the-box thinking.
Here are some options to consider while re-organizing the warehouse to make space for new arrivals.
Liquidating inventory
Payment platform Lightspeed warns that holding on to surplus inventory for too long can hurt retailers. How do small businesses get rid of old Christmas stock? “Inventory liquidation is turning your inventory into liquid assets and is the most common way of getting rid of old inventory. In other words, it’s selling old inventory for cash,” clarifies Lightspeed.
Although the word inventory liquidation is often associated with a company closing down, it’s also used to sell off obsolete and overstocked inventory. “You can either do it yourself or work with a third party who buys and sells your inventory in their stores.”
“Liquidating your inventory is a little more involved than just cutting the price and calling it a day. You’ll need to consult your accountant so they log your actions correctly for your country’s accounting standards,” according to Lightspeed.
Freshen up merchandise
Not all items that might be filling up shops are Christmas merchandise, yet it’s still old stock. To make space for new items, retail management consultant Judy Crockett says there are ways to revitalize your merchandise. “Freshen the display, move things around, create new, brightly-colored signage, and replace worn-out price tags,” she advises.
Another idea to spice up old holiday stock is to re-market it by snapping new photographs of items for the website.
Old stock can also be used as giveaways for shoppers who spend a certain amount or more online. This is a great way to boost customer relations and eliminate old stock simultaneously. For small business owners, a simple “thank you for your support” card and a freebie can result in a returned purchaser.
Amazon’s leading post-December sales
Branded as a ‘winter sale,’ Amazon slashes old stock up to 75%, knowing the response will be overwhelming. Some of its red items are now re-branded as early Valentine’s Day merchandise, from red coffee machines to fluffy couple’s matching red pajamas.
This year is expected to see a transition in e-commerce shopping. Amazon recently announced that it captured the most significant portion (29%) of all online purchases made globally in the lead-up to Christmas.
It’s been an excellent year for the business sector. The latest available data indicates that Christmas sales in 2023 hit an estimated $2.8 trillion worldwide. That’s a 5% increase from the previous year.
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About the author
Mia is a multi-award-winning journalist. She has more than 14 years of experience in mainstream media. She's covered many historic moments that happened in Africa and internationally. She has a strong focus on human interest stories, to bring her readers and viewers closer to the topics at hand.
