We call dead stock, products that sit unsold for a long time that will never sell in real-time without deep discounting.
These are terrible for business, especially when you consider the additional costs to keep them.
In most cases, you will have to make a clearance sale sooner or later. There are many innovative ways to get rid of the dead stock. My favourite is making a bundle with a dead stock item together with another stock that sells well and selling them as a unit. Generally, you get more than a clearance sale, but it's still a loss most of the time. The goal here is to get as much cash as possible and make room for future, more lucrative chances.
The ideal solution is to have order controls to minimise the problem in the first place.
How do we mark Dead Stock?
What we want to do is once you've identified the dead stock, mark it. This will stop others from ordering it, and suppliers who know it's dead stock don't try to provide it to you underhandedly!
Well, here is a simple and effective method.
When you receive stock items in the shop that you'd rather not see again, press edit in your POS Software, see image.
Then mark the stock item where the red arrow is.
Our system will no longer automatically order the product from that time. If it comes, when processed, the stock item will be automatically recorded in the instant return file. As a result, you will be forewarned and have the opportunity to act before accepting the dead stock.
Give it a shot, it works!