SOURCING 10 min read

When to drop a SKU (and how to do it cleanly)

Carrying a dead SKU is more expensive than the inventory tied up in it. It costs you attention, listing energy, and storage. Here's the decision framework for when to cut.

The 30-60-90 framework

1
Day 30: Velocity check
If sales are <50% of forecast, investigate. Wrong title? Bad photos? Or wrong SKU?
2
Day 60: Margin check
If margin is below floor and competitor pricing forces you to stay there, plan exit.
3
Day 90: Hard cut
If still underperforming, kill listing. Don't liquidate at 70% off — clearance pricing trains buyers to wait.

The cleanup checklist

End the listing properly (don't just let it expire — affects seller score)
Mark inventory as discontinued in your system
Liquidate inventory through a different channel (not eBay — protects price perception)
Document why it failed for the next sourcing review