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Dates Supplier
November 20, 2022

Business Strategies In A Economic Downturn – Reduced Lying Fruit

Dates supplier reviewing stock during a slow sales period

The low-hanging fruit first, before the big changes

When sales slow down, the instinct is to cut something big — drop a product line, close a channel, renegotiate every contract at once. That's usually the wrong order. The cheaper, faster wins are almost always sitting in plain sight: slow-moving stock that's tying up cash, a supplier relationship that hasn't been reviewed in two years, a delivery run that's half-empty on Tuesdays. Fix those first. They cost nothing to identify and the savings show up within a month, not a quarter.

Stock that doesn't move is a cost, not an asset

For a dates business specifically, this means looking honestly at which grades and pack sizes actually sell versus which ones just sit on the shelf because they were ordered out of habit. A 5kg bulk pack that moves twice a month is worth less than it looks on the balance sheet — it's warehouse space and capital that could be somewhere else. Running a stock report by SKU, not just by supplier, usually turns up two or three lines worth discontinuing or discounting down before they age further.

Suppliers: fewer, better relationships beat many thin ones

A downturn is the right moment to consolidate orders with the two or three suppliers who've been most reliable on price and delivery, rather than spreading small orders across five. Bulk-ordering from fewer sources usually earns a better per-kg rate, and it's easier to negotiate terms with someone who already knows your volume than to start that conversation cold with a new supplier during a tight quarter.

Where to actually cut, if it comes to that

If deeper cuts are unavoidable, look at recurring costs before headcount — subscriptions, packaging upgrades that weren't essential, marketing spend on channels that aren't converting. These are reversible once conditions improve. Cutting a long-standing customer relationship or a core product line is much harder to undo, and the goodwill takes years to rebuild once it's gone.

For sourcing decisions during a tighter budget, our notes on Medjool pricing and on local versus imported kurma are worth a look before you commit to a new order. Questions about current stock or terms — get in touch directly.