refurbished electronics

Pallets of Returned Electronics – What Are They? Are they in Working Order?

If you run an electronics retail business, one of the great ways to offer your customers all the gizmos and gadgets their heart’s desire is to buy pallets of returned electronics from a top-tier liquidator. It’s not hard to see why. Top-tier liquidation companies such as Direct Liquidation usually have agreements in place with some of the country’s biggest and most trusted retail names, meaning they can offer electronics retailers pallets of returned merchandise from some of the world’s biggest manufacturers at prices they will struggle to find elsewhere.

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If you’re unfamiliar with the world of top-tier online liquidation, here’s a handy guide to what you can expect when you buy pallets from a liquidator, what pallets of returned electronics are, what to expect when you buy a pallet of discount electronics in bulk wholesale and how purchasing from a liquidator can boost your profits.

What Is An Online Liquidation Marketplace?

Put simply, an online liquidation marketplace is a sales platform through which big-name retailers can sell through all their unwanted customer returns, overstock and closeouts to retail businesses looking to buy wholesale merchandise. In the case of Direct Liquidation, that means it’s an online liquidation sales environment where you’ll find pallets of customer returned electronics being sold direct to businesses by some of the giants of US retail, namely Walmart, Amazon and Target.

Unlike traditional wholesalers, liquidators sell pallets of returned electronics on behalf of big-name retailers via online auctions that take place on a daily basis. Customers are invited to open a free account with a valid reseller’s license and then bid on pallets of customer returned electronics. If they are successful, the pallet is theirs and they then either have the option to let the liquidator arrange the shipping, or to arrange it themselves.

As liquidators do business by cutting out the middleman and dealing directly with the big-name retailers, costs are kept to a bare minimum and prices for pallets of electronics found on a liquidator’s site are usually far cheaper than other stock suppliers. The low prices available on a liquidator’s site mean it’s more likely retailers will make a decent return on the wholesale merchandise they buy when the time comes to sell on to the paying public.

What Are Pallets Of Returned Electronics?

A pallet of returned electronics is the result of customers bringing items back to stores for a wide variety of reasons. Customers return faulty electronics products to stores, for example. The fault may be as simple as a disconnected wire, but that doesn’t mean a retailer can put the product back on the shelf and sell it as new once the fault has been identified. It is instead classed as a lesser value customer return, as are superficially-damaged goods and visibly-damaged goods.

Products are also brought back to stores by customers who change their minds about their purchases, or because they have received them as unwanted gifts. These products are especially frustrating for retailers, as they are, for all intents and purposes, brand new stock that now has to be cast into the customer returned pile.

It is these goods that liquidators such as Direct Liquidation bundle up into pallets and sell in liquidation auctions on behalf of the big-name retailers

Will The Electronics Be In Working Order?

On average, each pallet of returned electronics you purchase from Direct Liquidation will contain about 75% working units, though some of the products may have issues that will affect their resale value. For example, some will have lost their original packaging and will be supplied with either plain or brown packaging instead.

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Others will have suffered either superficial or visible damage to either the box or the product, and sometimes to both. Some products will have minor faults which can be easily repaired, thus bringing the product back up to factory spec and therefore increasing its resale value. Some products will be ‘as new’, meaning they have no damage, are in the original undamaged packaging and will therefore command the highest resale value.

The other 25% of goods in each pallet will be classified as ‘tested not working’. These are faulty, smashed and broken products that cannot be offered for retail. However, there is a good chance some of this 25% can in fact be brought back up to spec, thus enhancing your pallet’s profit potential.

For example, if you were to buy a pallet of wholesale laptops, you’ll be left with 25% of them being unsellable in their present state. However, a bit of canny cannibalization can bring several units back in line. For instance, say you have three laptops. One has a smashed screen, one has a failed hard drive and one has multiple failure issues but does have a perfect screen and a working hard drive. By swapping out the bad for the good, you are left with two working units, both now in good condition that can each be sold for a higher price. The other laptop can also be further stripped of parts to bring other units back up to spec. Never discard faulty units out of hand. You could be missing out in a profits boost.

Boosting Your Retail Business’s Profits

Buying merchandise wholesale from Amazon, Target and Walmart via Direct Liquidation’s online liquidation sales platform is a great way to boost your business’s profits. You’ll find pallets of PCs and laptops, Walmart computer monitors, games consoles and games, smartphones and tablets, children’s electronic toys and even quadcopters and drones on Direct Liquidation’s online liquidation marketplace. And because this is Walmart, Amazon and Target we’re talking about here, you won’t find goods from weird electronics companies you’ve never heard of on Direct Liquidation’s site. You’ll find products made by some of the biggest manufacturers on the planet such as Apple, Sony, Samsung, HP, Microsoft, Lenovo, Logitech and Google – in other words, you’ll find products your customers actually want.

Best of all, everything Direct Liquidation sells via liquidation sales on behalf of its retail partners is sold well below its MSRP value. This means you can charge your customers attractive prices that will match or even undercut your competitors’ prices while still making a very tidy profit for your business. If you’re on the lookout for a cheap and reliable source of great-quality customer returned electronics, look no further than Direct Liquidation’s online liquidation marketplace. It could well be the best decision you make all year!

Direct Liquidation is a goTRG company.

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Jordan Hall

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.