I mean giving them for free for people in need for example
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1- Image. If you have a brand that is super recognisable (say Louis Vuitton with their monogram or Adidas with the three stripes), you don’t want it being associated with the “wrong people”. So you don’t want your $3000 sweatshirt ending up on a homeless person because that devalues your brand. Anyone spending $300 on a sweatshirt wants people to KNOW how much it costs.
2 – Scarcity. Brands create this fake idea of scarcity to boost sales. Say Adidas come out with the really good new jacket. If you know it’s going to *always* be there, you have no incentive to buy it right now. Maybe you’ll like it, decide to buy it later then forget, or see another jacket you like more. Or you’ll maybe get it in the sale. Now say you hear that jacket is “limited edition! Only 100 available”. Or at 20% off for today only. Or “Only on sale for this weekend”. You are much more likely to go and buy it immediately because you don’t want to miss out. It’s the hit item that you need to get RIGHT NOW before IT’S COMPLETELY GONE.
3 – SALES. Many brands will do sales to get rid of unwanted stock, but plenty find that sales cheapen their image. And again, how many times have you seen something you like and just thought “I’ll get it in the sale”
4 – COSTS. As others have mentioned, it costs money to store, distribute and ship items. Much less costly to just destroy them.
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