Case Study: Transforming merchandise to media

Case Study: Transforming Merchandise to Media | Excess Inventory in Exchange for Media

The client’s challenge

An international casual fashion/activewear label faced a twofold challenge:

  • Maintain a national media presence with a reduced budget
  • Avoid liquidation losses on excess inventory

The Active International answer

Active paid a premium versus liquidation value for the client’s excess inventory. Working closely with the client’s national sales team, we resold the excess inventory in a way that would not disrupt their primary distribution channels or damage the brand.

The results

  • Bottom-line savings: Through barter, the client realized immediate cash-flow savings.
  • Media savings: By applying the trade credits from the transaction toward its magazine advertising, the client significantly reduced its cash media expenditure.
  • The start of something big: The client worked with Active to develop a turnkey trade program that would simultaneously address future inventory challenges and media budget challenges.
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