How to Buy Refurbished Electronics Wholesale and Sell for a Profit

2017-06-02

The refurbished electronics industry has the potential to be quite profitable for you if you but be warned there is lots of competition and more by the day. The bright side is there is ever more dollars to be made in the industry as well.

Exporting the Items Means Even More Customers

Many customers from other countries would love to have some of the various types of electronics that we take for granted in our country. In some cases, people in other countries do not have access to certain types of electronics, or the ones that are available are far more expensive than they are here. When you have refurbished wholesale electronics, you can provide those customers with affordable options.

You will want to check out the rules for exporting to different countries and do a bit of market research to see what type of electronics do well in various locations.

According to the Small Business Association, nearly 96% of consumers live outside of the United States, and nearly two-thirds of the purchasing power in the world is in other countries. You can visit the official website to learn more about exporting and see if it is a good option for your business.

Learn More About the Potential Markets

You will find that countries all around the world are looking for quality options when it comes to electronics. They also want the items to be affordable, and refurbished does not typically matter to them. Many countries, including places such as Brazil and India, are looking for cheap iPhones and televisions. Research the markets that interest you and see what types of products will usually sell well there.

What Types of Electronics Should You Consider?

Within the field of electronics, you have quite a few options that you could buy. You might want to specialize in a certain area, such as televisions. However, you might find that it is more advantageous to widen that niche a bit and add in some other types of electronics that are popular.

Some of the most popular that you will want to consider include:

These are just some of your options. If you want to widen the niche a bit further when it comes to selling refurbished wholesale electronics, you can always consider selling used video game discs and used movies.

Buy Wholesale Lots with Large Quantities

One of the best pieces of advice is to buy the electronic items in bulk whenever you can. You can do this through various wholesale liquidation companies and liquidation auctions. When you buy in bulk like this, it will help to reduce the price of the products even further. If you are buying quality items that people want, you should not have any trouble selling them for a profit, and since you save money on the cost with wholesale pallets, it means your profit has the potential to be even higher.

The good thing about buying pallets of electronics is you can pack a lot of value into a pallet since each item has a relatively high average retail cost. This means you can ship more goods using fewer pallets saving you on freight costs.

What Is on the Pallet?

When you are buying the wholesale electronics on a pallet or in a lot, you need to know exactly what it is that you are buying. You must check to see the number of items available, as well as the brands. Will you be able to sell all those items, or at least most of them? You need to determine just how much those items are worth to you and your business, not just what they would sell for if they were new and at retail.

How much can you charge for those items when you sell them? Does that number still provide you with enough of a profit? If you are exporting, you also need to make sure that it can fetch a fair price for you in those other countries.

The items on the pallets can vary. In some cases, you might have only televisions. They might be all the same model, but they could have other models and brands, as well. In some cases, a pallet might have multiple types of electronics in it. Make sure that those items are in your niche, or that you could add them to your list of items that you sell.

Make Sure the Goods Are Refurbished

When you are buying wholesale electronics, you need to be aware that not all the items and pallets you come across will be refurbished and ready to resell. In some cases, the items are no longer working, or may be missing documentation, parts or accessories. In those cases, they would only be useful for those who are selling them for parts, or those who are going to refurbish them and complete what is missing before selling.

You want to find items that have already been refurbished to manufacturer’s specifications. This means that they are ready to sell, and that your customers should not have any issues with those items working properly for them.

The Customers Need to Know They Are Refurbished When Buying

Even though many of the items that you buy for resale on wholesale pallets might be in great shape and as good as new, they are not new. They have been refurbished to make sure they are in great condition, but your customers need to be aware when they are buying the goods that they have gone through refurbishment.

If you do not make those customers aware, they will discover this when they get the item in most cases, and they will not be pleased with what they feel is a deception.

Be honest, charge a fair price where you can still make a profit, and you will find that the customers will be happy. If they do have problems with the device, you should already have a return policy in place. Since it is not always possible to replace these items, as you are buying them as they are available, you may want to institute a refund policy in case there are problems with an item.

Fortunately, when the electronics have been refurbished correctly, this does not usually become a problem.

Buying and reselling refurbished wholesale electronics can be a fantastic business with plenty of potential to make a nice profit. Just keep the information and tips from this post in mind, and start looking for some countries that might work well for you when you expand and start exporting.

Henley Johnson

Henley currently works as a sales representative for Direct Liquidation, assisting businesses with product sourcing of liquidated merchandise from the largest retailers in the world. Whether you are looking for a pallet or a truckload Henley is here to help you grow your business.

View Henley’s Bio on YouTube.