HOUSTON — Why could this be the summer of deep discounts?
During the pandemic the global supply chain took a huge hit.
Demand for goods shot up when a lot of us where stuck at home, but a shortage of port workers and truckers meant there was a backlog getting those goods to stores.
Some companies overcompensated for the disruption by aggressively stocking products.
Then inflation hit and spending slowed, leaving stores with too much inventory.
The head of the Strategic Resource Group told CBS News that some stores are overstocked by 30 percent with no place to put everything.
So what does that mean for you?
Get ready for the summer of sales.
Retailers need to move all that merchandise out the door. Experts are expecting discounts on consumer electronics, sporting goods, apparel and accessories.
And the sales could continue with some predicting even bigger discounts after Labor Day.
There has been another unintended consequence. Most retailers don’t want to advertise this, but with warehouses full, they are changing the rules on returns.
That means some stores will return your money and tell you to keep the product.
This is easing the logistical headache of finding a place for your returned product. But don’t get used to this, retail experts say for most stores, this will just be temporary.