Gary C. Smith
Gary C. Smith is President and CEO of NAEIR, National Association for the Exchange of Industrial Resources, the largest gifts-in-kind organization in the U.S. Based in Galesburg, IL, NAEIR has received donations of excess inventory from more than 8,000 U.S. corporations and redistributed more than $3 billion in products to more than 110,000 nonprofits. During fiscal 2018, NAEIR collected more than $99.5 million in inventory and distributed more than $105 million.
Rather than trashing merchandise or selling it to a liquidator, where you can’t control brand identity, consider donating your ecommerce returns. The resulting tax break may be quite handsome, and it may even be more financially beneficial than reselling the merchandise at a cut-rate price.
In-kind giving is ideal for offloading overstocks, obsolete merchandise, discontinued products and returns. Even though unwanted inventory no longer benefits your business, it can still be very useful to those in need, and there are ways to optimize your donations. See how you can do well by doing good with your unwanted stock.
Even the most efficient multichannel merchant often struggles with managing excess inventory. Common practices such as discounting or liquidation devalue products and undermine sales. And ecommerce makes it easier for shoppers to find cut-rate products. Here are 8 steps to help you avoid the biggest inventory management mistakes and come out on top.