Overstock. It’s a real challenge. Especially in peak trading seasons, returns, unsold lines and excess stock can pile up quickly. It places pressure on warehouse space, cashflow and ultimately brand value, as steep discounting becomes the norm and the traditional solutions are rarely ideal.
But there is a smarter, more purposeful alternative that’s helping retailers turn excess stock into positive impact. Salvation Army Trading Company (SATCoL, the trading arm of The Salvation Army) has developed a stock-donation model that not only tackles overstock but channels its value directly into charitable work supporting the most vulnerable across the UK.
From warehouse to worthwhile
For those unfamiliar with the concept, SATCoL’s approach is simple but highly effective. “Our stock donation model is straightforward,” explains Shaunacy Burne, Corporate Donation Manager at Salvation Army Trading Company. “We partner with retailers and brands who have surplus, end-of-line, or returned stock that they no longer need. Instead of disposing of it or heavily discounting, they donate it to us. We then distribute that stock across our network of charity shops, donation centres, and online platforms. The revenue generated from selling these items directly supports the charitable work of The Salvation Army across the UK.”
It’s an elegant solution that transforms unsellable inventory into tangible social good. Yet it’s not only the charity that benefits.
“The moral win is a big part of it, but there are tangible business benefits too,” Burne continues. “Retailers reduce waste, save on disposal costs and improve their sustainability credentials. It’s also a great way to demonstrate corporate social responsibility in action. Many of our partners find it strengthens their brand image and resonates positively with customers and stakeholders.”
What retailers can donate
SATCoL’s network of over 250 charity stores and multiple donation centres across the UK gives it a wide remit when it comes to stock. “We’re quite flexible,” Burne says, “but clothing, footwear, homeware, accessories and small electricals tend to perform well. Items that are new or nearly new are especially valuable, but we also welcome customer returns and overstocks. Anything that’s clean, safe and sellable can make a difference.”
Once donations arrive, they’re handled with professional care. “Once stock arrives, it’s sorted by our team. We make sure it’s presented well and priced fairly,” Burne explains. “Some items go straight to our shops across the country, while others may be sold online or through our donation centres. We also have a reuse and recycling infrastructure in place.”
Retail partnerships that make a difference
SATCoL has developed close working relationships with some of the UK’s best-known retailers and brands. “We’ve had some fantastic partnerships over the years,” Burne says. “One standout example is our ongoing relationship with a major high street supermarket. They’ve consistently donated seasonal surplus stock, which has not only boosted our retail income but also helped us reach new customer demographics. We’re currently working with a wide range of partners, from fashion and footwear brands to homeware and lifestyle retailers.”
These collaborations show how donation can be built into retail strategy rather than treated as an afterthought.
Transparency and shared purpose are what make the most successful partnerships thrive. “Transparency, shared values, and a commitment to making a difference,” Burne says, are key. “We tailor each partnership to suit the retailer’s needs, and we’re always open to feedback. The most successful collaborations are those where both sides see the long-term value, not just in financial terms, but in social impact.”
Protecting brand perception
Some retailers worry that donating stock could dilute brand perception, particularly if items appear in charity stores. Burne acknowledges the concern but says SATCoL has strong processes in place to protect brand integrity. “That’s a common concern, but we work closely with our partners to ensure we support their needs. We can agree on specific routes to market, such as selling through selected stores or online only. In some circumstances we’re also happy to remove labels or manage stock discreetly. Ultimately, donating stock is a powerful statement of values and customers appreciate brands that take sustainability seriously.”
Purpose with measurable impact
Every item donated has a measurable effect on people’s lives. “Every item sold helps to raise vital funds for charity,” says Burne. “The Salvation Army provide practical help for people in need, such as specialist support for survivors and potential victims of modern slavery, shelter for those experiencing homelessness and so much more. The profits raised through our retail operations are donated to The Salvation Army, enabling them to continue their life-changing work across the UK.”
Some donations, she adds, have made particularly visible impact. “One memorable example was a large donation of winter coats from a supermarket. Not only did it boost our seasonal sales, but we were also able to distribute some of the items directly to Salvation Army outreach teams supporting children in need. It’s an example of retail and charity working together for a greater good.”
Staff pride, customer positivity
Retailers that donate often find the benefits ripple beyond cost savings. “Beyond cost savings and sustainability wins, 
retailers gain peace of mind knowing their stock is being used for good,” Burne says. “It’s also a great way to engage staff and customers, many of our partners share their involvement internally and externally, which boosts morale and brand loyalty.”
And shoppers respond warmly. “The response has been overwhelmingly positive,” Burne says. “Customers love finding high-quality items at affordable prices, and they appreciate knowing their purchases support a good cause. It also helps break down stigma around charity shopping; retailer donations elevate the shopping experience and attract a broader audience.”
Despite the success of the model, Burne notes that a few misconceptions persist. “Yes, one of the biggest misconceptions is that donated stock available in our charity stores could impact full-priced items for our retailers in their stores,” she explains. “We work collaboratively to ensure donations complement our partners’ business strategy. Another myth is that it’s a complicated process, but we make it as seamless as possible.”
The future of purposeful retail
As sustainability and ESG continue to shape boardroom agendas, donation partnerships are fast becoming a strategic consideration rather than a feel-good afterthought. “I think they’ll become increasingly central to how retailers manage stock and demonstrate purpose,” Burne predicts. “With growing pressure around sustainability and ESG, partnerships like ours offer a practical, impactful solution. I see more brands embedding donation models into their operations, not just as a reactive measure, but as a proactive part of their strategy.”
Turning surplus into purpose, it seems, is not only the right thing to do. It’s quickly becoming the smart thing to do.
Visit www.satcol.org/businesses to learn more about the sustainable solutions and partnership opportunities.
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