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Americans returned 11 per cent of purchases in 2018, according to the National Retail Federation. Based on annual retail sales of $3.66tn, that works out to $403bn. Total holiday returns for 2019 could reach $95bn, according to B-Stock Solutions, which helps retailers run liquidation sales. That would represent a one-fifth rise over the same period in 2018.
Sustained inflation has compressed consumer spending across categories, resulting in softened sell-through rates and climbing aged inventory ratios. For retailers, brands, and manufacturers, the downstream effects are distinct, but the core problem is the same: the excess inventory is there,…
This well-known athletic retailer had large volumes of aged overstock held at various distribution centers (DCs) around the country. A small group of jobbers purchased the inventory on informal terms, managed by each DC, leading to inconsistent processes and outcomes…