When looking for merchandise to buy and resell through any of the online marketplaces such as Amazon, your ultimate goal is to find quality merchandise at prices that will allow you to make a profit. However, if you take your time to browse platforms such as Amazon, you will see that the number of individual sellers is rising and that the pricing of items they sell is edging more towards wholesale prices rather than retail. So, this means you require cheap merchandise without compromising quality.
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That’s where B-Stock comes in.
When buying merchandise from a store or an online marketplace you are also made aware of the return policy. This policy allows you to return an item within a certain period of time and get your money back. The products that retailers sell is A-Stock, which means it is brand new merchandise, never opened, never tried, never used and never sold before.
As soon as the item is shipped or is sold in the brick and mortar store it becomes a used item. In many cases, these items find their way back to the store under the return policy rules or replaced under guarantee. There is often a 30-day money-back guarantee and buyers often use it. Now, as soon as that item is returned it becomes B-Stock (or BStock) and can’t be sold as new. It is basically a customer returned item. However, these items are fully functional and as good as new, which means they may still be attractive to buyers out there.
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The benefit for you as a potential buyer is that B-Stock is significantly discounted It is also sold with a 30-day money-back guarantee (very often) and a hefty warranty, often a full 3-year warranty. This means you are basically buying brand new items at significantly reduced prices. This allows you to stay competitive in any market.
There are a few options when it comes to buying B-Stock. You can go to your wholesale supplier and ask for B-Stock. The benefit of buying through a wholesale supplier is that you can buy in bulk, by the pallet. This keeps the prices lower. You are basically paying a wholesale price for an item you will sell at retail price. It often pays out to work with a number of wholesalers to be able to pick and choose the best products at the best prices. Additionally, wholesalers will reward their loyal buyers by offering better deals, preferable payment and delivery terms helping you bring down the purchase cost and increase the profit margin.
But as mentioned, prices on online marketplaces are nearing wholesale. This means that even buying wholesale merchandise does not guarantee you a profit margin worth your time and effort. This means you have to explore other supply options and find a source that will supply you with B-stock at prices below wholesale.
This is where liquidation companies come in. Large retailers such as Target, Walmart, and Amazon have a huge throughput of merchandise, the return policy mostly favors the buyers that can return items within that 30-day money-back guarantee window. The returned merchandise gets liquidated. But why would you buy through liquidation companies rather than your wholesaler network?
Well, wholesalers get their merchandise from those liquidation centers or retailers directly. They turn up with trucks and snap up everything on offer. The merchandise gets cherry picked later with items in great condition being sorted together to maximize the value of a pallet or a lot. Before you are offered this merchandise a hefty wholesaler’s margin is slapped onto the price and you are left with a tiny margin to work with.
Buying through liquidation companies allows you to skip that wholesaler’s margin and purchase items at prices below wholesale. This way you are keeping your purchase price down and your profit margin widen giving you more return on your investment, time and effort.
Why would retailers liquidate their merchandise through liquidation platforms? The answer is simple. Even though retailers have their liquidation centers, these are platforms offer access to a wider online audience. And partnering up with reputable liquidators, retailers get to ship the B-stock out their dors quickly and don’t have it clogging up their space for too long.
In addition, this allows them to sell merchandise directly to end consumers or small resellers. These buyers would otherwise have no chance of getting their hands on this merchandise because the wholesalers snap the merchandise up by a truckload before anyone else gets a chance to buy anything.
There are other benefits to buying through liquidation companies. You are able to buy from the comfort of your home. Also, every reputable liquidation company will provide you with a manifest, a packing list showing you what is inside each pallet. If the products have been reviewed by the retailer you will have the grade of the merchandise listed in the manifest. You will be shown the type and the quantity of the products, so you always know what you are buying.
Additionally, liquidation companies don’t always own the merchandise they offer. If they are working with a retailer as a platform provider, the merchandise listed is shipped from the retailer’s warehouse. This means you can filter the search to show only the items and pallets listed at warehouses near you so that you can pick them up yourself and keep your delivery costs to the minimum as well.
So if you are interested in purchasing B-stock in order to offer your clients and customers quality merchandise that is still under a hefty warranty by the retailer, you should look for a reputable liquidation company to work with and order your next pallet of items from.
Direct Liquidation is a goTRG company.
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Jordan 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 Jordan is here to help you grow your business.
Schedule a sales callback with Jordan right now or check out his latest liquidation deals.
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