Almost every seller, especially in pandemic times, which stirred up the trend of past years to not hold more inventory than necessary, has come across the problem of so-called deadstock.
To add, the pressure of distributors to sell big bundles makes the sellers to buy more pieces of a given article than they require. That often leads to these articles staying in the store unsold for months or years. While deadstock easily arises, it’s way harder to get rid of. The most common way is to sell these articles with a big discount, which can sometimes reach even 90%. This solution is of course unprofitable for the seller.
The problematic of deadstock is very well known to Roland Džogan and Lukáš Eštvanc, thanks to their years of experience in the supply chain field. It got them to found YDISTRI, which develops an automated tool that can eliminate financial loss through a thorough analysis of inventory and ingenious predictive models. They recognize the deadstock and redistribute it to a branch with higher selling potential.
As the founders say, it’s a logical solution, that the retail world was missing – an opinion shared by the investors, both Czech and foreign ones, who decided to invest altogether 2,5 million EUR.
Ydistri became the newest addition to the V-sharp Alpha venture studio, owned by Michal Menšík (the founder of logistics company DoDo), and Zdeněk Šoustal, co-owner of Accolade. Other investments came from a Czech fond Nation 1 (Marek Moravec), Swiss investment company Falco Capital (ex-CEO of GE Int.) and a Hungarian entrepreneur Marton Szoke. The money will be used primarily for expansion of the product and scaling of the business on foreign markets. At the moment, the company is already active mostly abroad: in Slovakia, Hungary, Poland, Germany, Italy or South America.
The biggest potencial of YDISTRI’s service lays in pharmacies, perfumeries, drugstores, or electronics.
Both founders and most of the team were previously involved in implementation of ordering systems, which task was to predict the right amount of ordered goods to eliminate deadstock. “In addition to this, Ydistri chooses the final branch considering the biggest possible consignment of goods suitable for redistribution, so the logistics costs are spread and thanks to more expensive products, the cheaper ones are also profitable,” adds Tomáš Rendl.