Headlines

Inventory Glut Hobbling Retailers Before Holiday Shopping Season

Too many outdated goods could lead to ‘a bloodbath’ in sector.

Published

2 years ago

November 17, 2022

INSTORE Staff

iStock, sommart

Retailers of all sizes are scrambling to clear their stores and warehouses of excess inventory to make room for new holiday merchandise that’s more likely to move, Supply Chain Dive reports. Among the indicators pointing to that glut: By the second quarter of 2022, retail inventories were up 31 percent over the same time last year, an S&P Capital IQ and FTI Consulting analysis found.

In recent months, many retailers have turned to markdowns and other measures to get rid of product that customers weren’t buying. The big question hanging over the current holiday season is whether retailers’ efforts to whittle down that pile will succeed.

“Retailers are over-inventoried, and they’re very concerned,” Alexa Driansky, a director in AlixPartners retail practice, told Supply Chain Dive. “They placed too many orders when there were supply chain challenges. So now they’re sitting on a glut of inventory as they enter this holiday season, and they know the economy is turning. I think the year ahead is going to be a bloodbath.”

For the full story, click here.

Four Decades of Excellence: How Wilkerson Transformed a Jeweler's Retirement into Celebration

After 45 years serving the Milwaukee community, Treiber & Straub Jewelers owner Michael Straub faced a significant life transition. At 75, the veteran jeweler made a personal decision many business owners understand: "I think it's time. I want to enjoy my wife with my grandchildren for the next 10, 15 years." Wilkerson's expertise transformed this major business transition into an extraordinary success. Their comprehensive approach to managing the going-out-of-business sale created unprecedented customer response—with lines forming outside the store and limits on how many shoppers could enter at once due to fire safety regulations. The results exceeded all expectations. "Wilkerson did a phenomenal job," Straub enthuses. "They were there for you through the whole thing, helped you with promoting it, helping you on day-to-day business. I can't speak enough for how well they did." The partnership didn't just facilitate a business closing; it created a celebratory finale to decades of service while allowing Straub to confidently step into his well-earned retirement.