Strategies for Handling Overstock in E-commerce

Identify the root cause of overstock

Overstocking can be a real headache for e-commerce businesses. Before you can tackle the problem, you need to understand why it’s happening. Is it due to poor forecasting, seasonal fluctuations, or perhaps a sudden drop in demand? Here at iWeb, we’ve seen it all. Our expert solution architects can help you pinpoint the exact cause.

For instance, if your forecasting is off, you might be ordering too much stock. This is where Adobe Analytics can come in handy. By analysing past sales data, you can make more accurate predictions. On the other hand, if seasonal fluctuations are the issue, you might need to adjust your ordering schedule. Our talented team at iWeb can help you set up a system that takes these factors into account.

Utilise data analytics for better forecasting

Data is your best friend when it comes to managing stock levels. By leveraging tools like Adobe Experience Cloud and Adobe Real-time CDP, you can gain insights into customer behaviour and trends. This will help you make more informed decisions about how much stock to order.

For example, Adobe Analytics can show you which products are most popular during certain times of the year. This allows you to adjust your stock levels accordingly. The team at iWeb has 29 years of e-commerce experience and can guide you through the process of setting up these tools.

Implement a dynamic pricing strategy

Dynamic pricing can be a game-changer for managing overstock. By adjusting prices based on demand, you can move excess stock more quickly. Adobe Target is a great tool for this. It allows you to test different pricing strategies and see which ones work best.

For instance, you could offer discounts on overstocked items to encourage sales. Or, you could bundle these items with more popular products. Our talented team at iWeb can help you implement these strategies effectively.

Leverage marketplaces to sell excess stock

Marketplaces like Mirakl can be a great way to offload excess stock. By listing your products on multiple platforms, you can reach a wider audience. This increases the chances of selling your overstocked items.

For example, if you’re a foodservice business, you could list your products on a foodservice marketplace. This way, you’re not just relying on your own website to sell your stock. The team at iWeb can help you integrate with these marketplaces seamlessly.

Optimise your inventory management system

An efficient inventory management system is crucial for preventing overstock. Tools like Akeneo PIM can help you keep track of your stock levels in real-time. This allows you to make adjustments as needed.

For instance, if you notice that a particular product is not selling well, you can reduce your order quantity for the next cycle. iWeb are expert Akeneo PIM Integrators and can help you set up a system that works for you.

Offer promotions and discounts

Promotions and discounts are a tried-and-true method for moving excess stock. By offering special deals, you can attract more customers and encourage them to buy your overstocked items. Adobe Campaign is a great tool for managing these promotions.

For example, you could run a flash sale or offer a discount code for overstocked items. Our talented team at iWeb can help you set up and manage these campaigns effectively.

Consider product bundling

Product bundling is another effective strategy for handling overstock. By combining overstocked items with more popular products, you can increase their appeal. Adobe Commerce makes it easy to set up product bundles on your website.

For instance, if you have an overstock of a particular item, you could bundle it with a best-seller. This not only helps you move the excess stock but also increases the perceived value of the bundle. The team at iWeb can help you implement this strategy seamlessly.

Explore alternative sales channels

Sometimes, your own website might not be enough to move excess stock. Exploring alternative sales channels can help. This could include social media platforms, third-party websites, or even physical pop-up shops.

For example, you could list your overstocked items on a platform like eBay or Amazon. Or, you could set up a temporary physical store to sell these items. Our talented team at iWeb can help you explore these options and find the best fit for your business.

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If you’re struggling with overstock, don’t hesitate to reach out to iWeb today. Our expert solution architects and talented team are here to help you navigate the complexities of e-commerce and find the best strategies for your business. Contact iWeb to learn how we can help further with your digital transformation.