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Pros and cons of excess jewelry inventory

Know more about the advantages and disadvantages of stocking up on jewelry pieces.

How you manage your inventory is one of the essential skills of business owners. Some businesses tend to stock on too many items while others keep numbers controlled. However, an effective inventory strategy for some may not be effective for others.

For jewelry business owners, excess inventory may not be too much of a problem. Still, we must still consider its advantages and disadvantages to prevent problems in the future.



  • Bulk savings

Buying wholesale fashion jewelry in bulk definitely saves you a lot of cash. Most suppliers give huge discounts for large orders and you can save up on shipping costs too.

  • Buffer

Having an excess inventory provides a buffer for customer demand increases. This may be a risk, but it provides benefits in the long run. You'll be able to reduce lead time.

  • Better customer service

Say a customer wants to buy more than five of a certain design. You will be able to provide them with the items they want because you already have them ready in your inventory. You won't have to ask them to wait.

  • Faster deliveries

If you run an online jewelry business, you get to deliver products faster as most of your items are readily available. If a problem with the delivery comes up, you can send another of the same item immediately while you sort out the courier problem.

  • Promos

Your leftover inventory can be used as promotional items. Monthly promos will attract potential buyers and retain your regular ones.



  • Inventory cost

Excess inventory means having to spend a rather significant amount of money. Stocking up on jewelry pieces then is not recommended for small start-up businesses.

  • Outdated designs

If you have too many rings of a design and has been with you for months now, then the design is probably now outdated. For example, if you stock up on a St. Patrick-inspired ring and don't get them sold within the holiday, then you'll end up with rings you can't even put on a promotional sale.

  • Space

Jewelry pieces may not take up too much room, but getting a secure space does pose a problem. If you're a start-up business and have a lot in your inventory, you need a secure place where you can keep them. This then means you have to invest in a rather pricey vault which will then incur costs to your products.


Jewelry inventory obviously is one important matter in any jewelry business. Weigh the pros and cons before making a decision. It is good to take risks, but make sure to be ready for any consequences.

Ready to take risks? Check out our new arrivals and stock up on various fashion jewelry pieces!