With margins growing ever tighter and competition from the Internet increasing on a daily basis, cell phone store owners need to find an edge if they’re to stay one step ahead in today’s challenging retail environment.
Back in the day, purveyors of second hand cell phones had limited options when buying cheap wholesale merchandise for their businesses. Most relied on wholesalers who would buy untested customer returns, store closeouts and overstock from the major phone retailers and sell them to the reseller at whatever price they saw fit.
This was fine when wholesale prices were far lower than retail, but as retail price has dropped and is now pretty much on a par with what a wholesaler can offer, the chances of making a profit on a wholesale purchase of returned or refurbished cell phones has diminished considerably.
So, what to do? Is there a solution to this problem? Thankfully, the answer is ‘yes’. The solution is buying merchandise by the pallet from a reputable online liquidator.
An online liquidation marketplace such as Direct Liquidation sources huge amounts of wholesale used electronics in a wide variety of conditions that it auctions off to its customers at prices you’ll struggle to find elsewhere. When it comes to refurbished electronics such as cell phones, the products are divided into several categories that reflect their condition. These are:
Grade A products are classified as ‘as new’ or ‘nearly new’. These are products that, for all intents and purposes, are indistinguishable from brand new products a customer will purchase from a store.
Grade A items are fully restored back to manufacturer specifications and usually come in their original packaging (or plain white or brown packaging). They also come with a full set of instructions and brand-new accessories. The original warranty will, of course, be absent, but in its place Direct Liquidation offers its own 90-day warranty.
Unlike Grade A products, which will display no blemishes or light damage, Grade B items will display slight cosmetic damage such as feathering or light scratches. They will have been restored to new manufacturer’s specs and will come in cleaned original packaging or white / brown packaging with new accessories and full instructions. Like their Grade A counterparts, Grade B products come with a 90-day guarantee.
As with Grade A and Grade C products, the items in this category are restored to original specifications and come in cleaned packaging or white / brown boxes with all accessories present and correct and a 90-day warranty. However, there will be significantly noticeable damage to the product, such as highly visible scratches and damage to the phone casing.
One of the main advantages of buying electronics wholesale from an online liquidator such as Direct Liquidation is the cost. Unlike when you deal with a wholesaler, an online liquidator has exclusive deals in place with some of the major manufacturers and retailers. This means they provide a platform for these companies to sell their overstocked, customer returned and reconditioned merchandise through their website.
A huge range of stock is therefore available for the reseller to buy at auction through the liquidator. Best of all, by securing exclusive partnerships with companies of the size of Walmart, a liquidator such as Direct Liquidation can offer high grade merchandise such as a huge range of reconditioned and customer returned cell phones at prices traditional wholesalers simply cannot afford to match.
Thanks to the unique relationship a specialist liquidator such as Direct Liquidation enjoys with a growing list of big name manufacturers and retailers, you’ll find plenty of pallets of top quality liquidated stock from some of the biggest names in the business such as Apple and Samsung.
And it’s not just pallets of refurbished cell phones you’ll find. There are also pallets of untested customer returns and overstock. This will include everything from ‘as new’ cell phones, to grade B and C products, as well as salvageable and scrap stock that can be used for spares and repairs to bring damaged and broken units back to sellable condition.
And because these items are sold at auction at a knock-down price, the cell phone store owner can buy wholesale products for resale in a variety if conditions well below MSRP value. This means one thing when it comes to selling them in their stores – healthier profits.
There’s always been a certain stigma attached to buying second hand products, but this has never really applied to electronics equipment. As long as the items are in good condition and fully functional, plenty of people are happy to buy older, cheaper tech. Not everyone’s got money to burn on a brand-new iPhone or a laptop that costs thousands of dollars.
Tapping into this market can prove to be very lucrative, but that operates on the proviso that a cell phone store owner can buy bulk electronics cheap enough to sell at a price that’s not only going to be attractive to the customer, but also leaves their bottom line looking healthier and healthier.
Thankfully, that’s where an online liquidation business such as Direct Liquidation comes in. Thanks to their strict quality control standards and commitment to customer service, retention and satisfaction, you’ll find an abundance of excellent quality refurbished and untested cell phones to purchase via live auction from their easy-to-use website.
Sign up for a free account today and you’ll quickly discover the reason why so many resellers are turning to online liquidators when it comes to sourcing product for their cell phone stores. The wealth of product available, the care with which it is handled, the unique relationship the liquidator has with its suppliers … all of this adds up to a service that’s second-to-none, and one that will deliver your business the products it needs to not only survive, but thrive.
Direct Liquidation is a goTRG company.
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Bid on bulk quantities of returned, overstock and refurbished inventory directly from Walmart
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