The United States experienced a year without major changes in terms of inventory surpluses and excess stock in 2025. The landscape was shaped by a combination of store closures, inventory reduction strategies, accelerated seasonal shifts, and financial pressures on traditional retail. Various market sources and corporate movements show that the volume of merchandise entering the liquidation channel has increased slightly, with monthly growth of around 0.1–0.2% in several months of the year, remaining modest compared to previous years.
A Surplus Market That Is Gradually Expanding
Excess & Surplus Market Reports
According to S&P Global’s 2025 US Excess & Surplus Market Report, the volume of surplus inventory in categories unrelated to returns—such as overproduction, order cancellations, financial risk-reduction strategies, and seasonal adjustments—continues to rise. Retail chains are proactively trimming inventory levels, pushing more merchandise into specialized channels before it loses value.
Expansion of the Liquidation Services Sector
An analysis of the liquidation services market (Cognitive Market Research) indicates that the sector has maintained steady growth in 2025, driven by increased supply of merchandise resulting from excess stock, discontinued product lines, and seasonal transitions. North America represents the largest share of the global market, with the United States leading the generation of available inventory.
More than 35% of major retailers routinely use liquidation services to manage unsold stock or excess inventory.
The Acceleration of Fashion and Seasonal Merchandise Cycles
Retailers in fashion, home décor, sporting goods, and household products are shortening the exposure time of their collections, leading to more frequent seasonal surpluses. This phenomenon is intensified by demand-forecast adjustments and the need for rapid turnover in physical stores.
Major Retail Chains Drive an Increase in Surplus Inventory Through Store Closures
Several U.S. retail players generated waves of merchandise available for liquidation during 2025.
The retail sector in the United States has undergone a strong wave of physical store closures, driven by changes in consumer behavior, growing preference for online shopping, and economic pressures affecting traditional chains. In addition, many major brands—from department stores to pharmacies and discount retailers—are reducing their footprint or restructuring operations across various regions as part of their adaptation strategies.
Economic Factors Amplifying the Trend
The macroeconomic environment also contributes to the increase in surplus inventory:
- High financing costs: Holding inventory has become expensive, prompting companies to liquidate more quickly.
- Competitive pressure from e-commerce: Brands are reducing physical inventory to avoid logistical overcosts and capacity issues.
- Consolidation of traditional retail: Mid-sized and regional chains continue to face operational challenges, leading to more closures and inventory reductions.
Sources: Trading Economics | U.S. Census Bureau | Business Insider | Forbes | S&P Global | Cognitive Market Research | Amra & Elma | GlobeNewswire
