You didn't ask me, but that is correct.
When I was younger I worked my way thru college working retail at a large farm supply operation. Shelf space is valuable, and you need a certain number of turns per month (depending on product). This number correlates to the inventory carry cost of the product you own. For more professional operations (non Mom and Pop) most use a ratio to determine if the number of turns versus the physical space taken up and cost of the product make it worth it to continue to carry it.
So products that don't turn (i.e. don't sell) just take up shelf space and end up costing you money two different ways if they don't move. Carry cost and opportunity cost.
For a recent larger market example, I recently purchased some shares of SODA near $18 as a possible rebound story (after reviewing Whitney Tilson's multipage PowerPoint deck on the company and prospects).
But one of the reasons why the price cratered from $40 to under $20 over the last year is declining sales in the U.S. markets. Macy's removed the product from their shelves due to slow moving sales, and BBY reduced the shelf space reserved for SODA products because of slow sales.
By the way, I am not recommending shares of SODA to anyone. If SODA can't get U.S. sales turned around it is likely the PPS could see further erosion in 2015.
But as it relates to IFUS, if the products weren't selling then we should see distributors reducing page space (internet) or shelf space (retail) for the products. And one would expect to see the list of distributors shrinking if sales were poor, not expanding.
