← Back to glossary Category: Logistică Dead stock Quick answer: Goods unsold for a long period that lock capital and space, with little prospect of selling at normal price. Key takeawaysPurchasing on intuition, not demand dataSeasonal products left after the seasonAssortment errors / products replaced by new versionsMinimum order quantities (MOQ) too large What dead stock is Dead stock is merchandise that hasn't moved for a long time (e.g. 6-12 months) and is unlikely to sell at normal price. It locks capital, occupies valuable picking space and risks expiry or obsolescence. Why it appears Purchasing on intuition, not demand data Seasonal products left after the season Assortment errors / products replaced by new versions Minimum order quantities (MOQ) too large The hidden cost Dead stock costs continuously: locked capital, space, insurance, handling. It often exceeds the loss from a quick liquidation. Rule: better liquidate now than pay storage forever. How Azuvio helps Azuvio automatically identifies zero/low-rotation stock per SKU, flags liquidation/promotion candidates, and prevents future build-up through demand-based replenishment, not intuition. Frequently askedWhen does stock become ‘dead'?There's no universal threshold, but usually goods with no movement for 6-12 months. Set the threshold per category: seasonal vs non-seasonal have different horizons.What do I do with dead stock?Options: liquidate at a discount, bundle with fast movers, return to supplier (if possible), donate (tax benefit) or, last resort, write off. The key is to act fast.How do I prevent dead stock build-up?Demand-based purchasing (not intuition), per-SKU rotation monitoring, reasonably negotiated MOQs, and early flagging of products with declining rotation. Where Azuvio fitsSoftware WMSSoftware OMSConectori ERP Related termsInventory turnover — How many times stock is fully sold and replenished in a period — a measure of capital efficiency.Safety stock — Extra buffer inventory held to prevent stockouts caused by demand or supply variability.Cash flow — The actual movement of money in and out of a company over a period — a measure of liquidity, not profit.Stocktaking (physical inventory) — The process of physically verifying inventory and reconciling it with book records to establish the real asset position. Last updated: 2026-07-06