What Became of Unsold Inventory at Joann Fabrics? A Closer Look
Many loyal customers and industry observers have pondered the fate of the fabric, yarn, candles, and other merchandise that remained unsold as Joann Fabrics underwent store closures and liquidation processes. A common question arises: what happens to all these inventory items that don’t seem to find their way to clearance shelves or online marketplaces?
Understanding the logistical journey of unsold products requires examining several potential scenarios. Despite some stores’ reluctance to significantly discount merchandise—often limiting markdowns to just 5-10%—the question remains: where did these items go?
One possibility involves store consolidations and sales between sister locations. Larger or more established stores might have absorbed inventory from closing sites, though concrete evidence for this practice remains scarce. Another avenue is wholesale transfer to other retail chains such as Michaels or Hobby Lobby, potentially at negotiated lower prices. Collaborations or bulk sales to these competitors could facilitate inventory turnover while minimizing losses.
Alternatively, manufacturers and distributors might have reclaimed unsold stock. Companies like Cricut, Brother, Singer, and others could have arranged returns or salvage agreements, especially for promotional or overstocked items. Returning products to manufacturers or distributors helps recoup some investment and manage supply chain inventories.
It’s also worth noting that Joann’s overall online presence largely became inactive during some periods, with the company’s website becoming defunct and missed opportunities for online clearance sales. Despite the widespread store closures and the advertisements promising significant discounts, many customers report that the advertised “90-95% off” sales never materialized fully at the physical locations.
As for whether those goods were simply discarded, it’s unlikely they all ended up in dumpsters. Retailers generally seek to recover as much value as possible from overstocked or unsold merchandise through sales, donations, or recycling programs.
In summary, the fate of unsold inventory from Joann Fabrics is likely a complex combination of store closures, inventory consolidations, wholesale transactions, manufacturer returns, and charitable donations. While some items may have been disposed of, most probably found their way into various channels aimed at minimizing waste and financial loss.
Disclaimer: Much of this analysis is based on industry practices and available information, and specific details about Joann Fabrics’ liquidation processes are not publicly disclosed.
