According to an article published in in January 2000, manufacturers, wholesalers, direct marketers and retailers have used corporate barter companies to move a portion of their surpluses, which in 1999 reached a staggering 0 billion.It's estimated that product overstock and surplus inventory will total 5 billion by 2002.
As a result, many otherwise efficient operations end up housing idle stock far longer than they should, tying up valuable warehouse space.
Product philanthropy via gifts-in-kind organizations gives you an efficient, repeatable workflow for disposing of unwanted inventory.
You'll be able to predict how much time and effort it will require of your workforce. These are advantages you rarely enjoy when discounting and liquidating merchandise.
By combining these estimates with actual demand history, the distributor determined a stocking level and passed that information onto its manufacturers.
Manufacturers then used this data to ensure on-hand quantities reflected forecasted needs and produced only what was required.