sumer demand because inventory forecasting is largely inaccurate, [so] brands and retailers often end up with unsold stock,” Bhasin, CEO of Sotira, an integrated marketplace that uses artificial intelligence to bundle and match surplus inventory suppliers to buyers, said.  Even several years after Covid, there are still elements at play making it difficult for seasoned retailers to lessen overstock, such as tariffs and ever-shifting supply chain issues worldwide.  At the same time, there is a lot of pressure on retailers to reach zero-waste and net-zero goals. Regulations like SB1383, which targets organic waste in California, have begun forcing companies to comply with waste reduction goals or risk being fined as of 2024.  “As a result [of these regulations], retailers are being innovative and choosing solutions that bag up surplus product at the end of the day at discounted rates for consumers,” Bhasin said. This is where platforms such as Flashfood and Martie, which help retailers offload excess inventory, come into play.  What is Flashfood and why are retailers like Kroger partnering with them  While apparel and lifestyle retailers can turn to companies like 260 Sample Sale or Miami Sample to clear excess inventory, retailers selling perishable goods like beauty and grocery items face greater time pressure to move on products before they are no longer able to be sold.  This is where platforms like Flashfood come in for the save.   Flashfood CEO Jordan Schenck explained that grocers can sell their fresh food at significant discounts via the company’s digital marketplace, which helps grocers reduce food waste while offering cost-conscious shoppers more accessible options. “By turning markdowns into a digital, trackable channel, we support retailers in reducing shrink, increasing foot traffic, driving incremental purchases and increasing loyalty. It’s a model that delivers both operational and customer value without disrupting existing store systems,” said Schneck.  In late July, American supermarket chain Kroger announced a partnership with the food-saving platform across 16 Richmond-area Kroger stores, making Flashfood available in over  2000 stores across North America. Regarding the platform’s partnership with Kroger, Schenck predicted that other national grocery store chains will soon hop on board with platforms like Flashfood.  The CEO stated that the partnership “signals not just how Flashfood has grown as a business, but it’s a signal that large-scale grocers are embracing innovative ways to address food waste and affordability for their communities. It shows that this model is gaining traction at the national level and that the industry is ready to invest in solutions that benefit both business performance and community impact.” Why retailers need to get over their hesitation around overstock platforms  As Scott Benedict, the founder and CEO of omnichannel retail consulting firm Benedict Enterprises, told Inside Retail, “Platforms like Flashfood and Martie are growing more popular because they create a win-win dynamic: they allow retailers to recover value from surplus goods and keep their store inventory ‘clean’ and ready to accept new products into their mix quickly, while appealing to consumers who are increasingly motivated by both savings and sustainability.” Additionally, Benedict pointed out that these shopping models resonate particularly well with price-sensitive shoppers and younger consumers who are comfortable seeking alternatives to traditional retail channels. However, as Bhasin pointed out, overstock remains a sticky issue for many grocers or brands. This is partly due to the sheer volume of goods sold, as well as concerns about cannibalising forward sales if they sell short-dated or overstock to consumers who would otherwise be purchasing at full price.  “Over time, this can erode brand reputation and risk brand dilution, so retailers are considering consumer solutions with caution,” said Bhasin.  However, Benedict believes the platforms provide an opportunity for retailers to turn what was once a liability, overstock, into a loyalty and brand-building moment. “By partnering with these platforms, they’re not just offloading excess; they’re signaling to consumers that they’re committed to reducing waste and making products more accessible. As Kroger’s recent partnership highlights, the momentum is growing, and I expect more retailers to follow suit,” he said. At the same time, Benedict cautioned that many retailers still need to upgrade the technology that underpins their planning and forecasting functions.  “Preventing over- or understocks is also key as much as quickly resolving this issue when it occurs. The combination of preventing inventory imbalance and having a way to quickly resolve it when it does occur is the path forward for retailers of all types,” Benedict concluded.