Smatch launches platform to tackle overstock
Overstock is a big challenge in the fashion industry. German startup Smatch has recently launched a B2B platform to tackle this problem. Retailers can offer their excess stock for sale through the platform. Currently, the platform is active in the textile sector, but it wants to add other sectors soon.
According to Smatch, overstock causes significant economic losses. In 2020 the global burden was estimated at 3 trillion euros annually. It also has serious environmental impacts. About 25 percent of all fashion items produced each year are never worn. This causes almost 7 percent of all microplastic pollution in our oceans.
Smatch’s solution for overstock
Now Smatch wants to address this problem with the launch of its new B2B platform for international trading. On its B2B marketplace, brands and retailers can efficiently trade their excess inventory. Sellers can add product details and specify preferences about the type of sale, such as potential buyers or which regions and distribution channels to aim for. This helps sellers recover their profit margins and ensures brand integrity is maintained.
“Since its recent launch, Smatch has already processed transactions worth a mid triple-digit million amount.”
“Every year, 5.8 million tons of textile products are disposed of in Europe alone. With Smatch, we want to make a significant positive impact in this area”, said Dr. Max Groberg, co-founder of Smatch. Since the company’s recent launch, it has already processed transactions worth a mid triple-digit million amount. “We are committed to meeting the needs of brands and retailers, ensuring that each product finds the ideal customer to maximize both profitability and brand value.”
An innovative approach
Behind the company are founders and managing directors Dr. Hans Martin Vetter, ex-McKinsey consultant and Dr. Max Groberg, most recently responsible for planning and management at About You. Smatch was able to attract an investor funding of 2.5 million euros for the development of the platform shortly after its founding.