Depending on what retailers do with holiday returns and overstock inventory—to the degree that they touch it, sort it, triage it, refurbish it, recycle it, resell it—the associated costs of the reverse supply chain can add up quickly. “It’s expected that roughly 10 percent of purchases will end up being returned, so the estimates that I’ve read is that will translate into $70 billion worth of retail sales, which just get reversed. The impact is enormous. With 10 percent of your sales coming back, it’s not just running the register backwards, but the cost associated with handling all that product coming back,” according to Howard Rosenberg, CEO and co-founder of B-Stock Solutions.

There are several ways a retailer can try to recoup value from the gift returns and overstock inventory that tend to accumulate immediately after the holidays: resale to another consumer (in some cases including reconditioning and/or refurbishment), resale in bulk on the secondary market, donation and recycling. Destruction is another option for retailers, although no value is recouped, but further reduced.

Read Full Article >>

More from the B-Stock Blog

What Back-to-School Shoppers Want—And How Resellers Can Deliver
What Back-to-School Shoppers Want—And How Resellers Can Deliver

Back-to-school season is here! For resellers, it’s one of the best times of year to move inventory, attract new buyers, and position your business as a smart way to save on popular products. This year, budget-conscious shoppers are getting their…

Jul 02 2026 · 5 min read

How Jim Rowe Filled a Shopping Desert—With Costco Returns
How Jim Rowe Filled a Shopping Desert—With Costco Returns

Jim Rowe has always been an entrepreneur. From 2002 onward, he and his wife built a sizable chain of restaurants across Washington with nine locations in total. Then COVID hit, and like so many others, everything stopped. Luckily, Jim’s not…

Jun 18 2026 · 9 min read

When Consumers Pull Back, Where Does Your Excess Inventory Go?
When Consumers Pull Back, Where Does Your Excess Inventory Go?

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,…

Jun 17 2026 · 4 min read

Like what you see?

Subscribe to our newsletter to get the latest news from B-Stock.