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Expert Answer • 1 min read

What's the best type of discount to use to clear out old inventory?

I'm struggling with clearing out old inventory that's been sitting in my warehouse for months. These products are taking up valuable space, tying up capital, and potentially becoming obsolete. I need a strategic approach to discounting that will help me move these items quickly without completely destroying my profit margins or brand perception. What discount strategies can help me efficiently liquidate old stock while minimizing financial losses?
Muhammed Tüfekyapan

Muhammed Tüfekyapan

Founder & CEO

1 min

TL;DR - Quick Answer

Implement a tiered progressive discount strategy starting at 30-40% and increasing incrementally, focusing on bundling, limited-time flash sales, and creating urgency through countdown timers to accelerate old inventory clearance.

Complete Expert Analysis

Strategic Inventory Clearance Discount Methods

Clearing old inventory requires a nuanced approach that balances financial recovery, brand perception, and sales velocity. Here's a comprehensive strategy to transform slow-moving stock into revenue.

Discount Progression Model

StageDiscount %DurationStrategy
Initial Clearance30-40%1-2 weeksTargeted email campaign
Escalation Phase50-60%1 weekFlash sale, limited channels
Final Liquidation70-80%3-5 daysBulk/bundle offers

Advanced Clearance Tactics

Bundling Strategies

  • ✓Pair slow-moving items with popular products
  • ✓Create themed package deals
  • ✓Offer bulk purchase discounts
  • ✓Mix high and low-margin items

Psychological Pricing

  • ✓Use precise discount percentages
  • ✓Highlight original vs. clearance price
  • ✓Create scarcity messaging
  • ✓Emphasize limited stock

Distribution Channels

Email
Targeted segments
Social Media
Retargeting campaigns
Website
Dedicated clearance section

Tracking Performance

Inventory
Units cleared
Revenue
Total generated
Margin
Percentage retained
Velocity
Days to clear

Automate Inventory Clearance with Growth Suite

Growth Suite offers sophisticated inventory clearance tools by generating dynamic, time-limited discount codes tailored to specific product performance. The platform can automatically create targeted campaigns that progressively increase discount percentages, track real-time inventory movement, and generate unique codes for hesitant buyers. Its behavioral tracking ensures offers are presented strategically, maximizing conversion potential while efficiently liquidating old stock.

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Muhammed Tüfekyapan

Muhammed Tüfekyapan

Founder & CEO of Growth Suite

With over a decade of experience in e-commerce optimization, Muhammed founded Growth Suite to help Shopify merchants maximize their conversion rates through intelligent behavior tracking and personalized offers. His expertise in growth strategies and conversion optimization has helped thousands of online stores increase their revenue.

E-commerce Expert Shopify Partner Growth Strategist

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