Funkothe company best known worldwide for its line of Funko Pop figures, has decided to send to the pulp unsold items worth 30 million dollarsto try to solve the problem of inventory overload.
According to reports from Kotaku, Funko reported the matter during a recent conference with shareholders, explaining that the amount of unsold products in stock is so large that, economically, the most convenient choice is to throw everything in a landfill.
“Year-end inventory was $246.4 million, up 48% from a year ago,” Funko reported. “This includes inventory that the company plans to eliminate in the first half of 2023 to reduce costs by managing inventory levels to align with the operational capacity of distribution centers,” the statement said.
CEO Brian Mariotti told the conference that a distribution center was so full that it had to rent shipping containers to handle the excess inventory. Apparently, the exponential growth of Funko Pops and other gadgets produced by the company has led to an unmanageable overproduction for the company, which now finds itself forced to throw away millions of dollars of unsold products.
