Dead Stock

Inventory that is not selling and is sitting in your warehouse or storage, tying up capital and costing storage fees.

Dead stock is cash trapped in physical form. It occupies storage space, inflates COGS, and represents lost working capital. Clearing it quickly, even at a loss, is usually better than holding.

You have 200 units of a product that has not sold in 90 days. Storage cost is £40/month. A flash sale at 50% off clears 180 units and recovers £1,800 that can fund a better-performing product.