November 11, 2019 by John Louis
When we hear about the word ‘liquidation’, most of us think about a company that has gone bankrupt or that is closing down and selling out its stock. But it’s not that bad always. Many companies sell their wholesale liquidation merchandise just to make way for their new inventory. When a company sells out its liquidation goods, it becomes an excellent way to earn money from the inventory that would have never sold out for profit. Companies look for wholesale liquidators when they want to sell out their overstocked inventory, products returned by their customers, or goods that have gone out of season and they have no space to keep it in stock.
Wholesale liquidation companies buy this merchandise from these sellers and resell it to retailers by truckload or pallet. These retailers then sell it to customers who are looking for similar merchandise at low rates. Since this wholesale liquidation merchandise is bought at a much less rate than its retail value, it can be sold to the retailers at low rates too, and the profit can be transferred to the customers as well. So, this kind of deal proves to be profitable for liquidation companies, retailers as well as to the customers who finally buy the liquidated products. If you are also considering the concept of liquidation for buying or selling goods, then first of all, you must know where this merchandise comes from.
Liquidated products can come from different sources. Wherever the stock comes from, it is always available at a lower cost than its retail value, and your aim is to make profit out of it. Some of the common sources include the following:
Customer Returns: Once a customer buys a product, he or she may return it for a variety of reasons. When they do that, the product they returned cannot be sold again. This kind of product is often categorized as a second-hand good, and most reputed stored want to sell brand new products only. So, when a customer returns a product, it gets stuck in the storage and the owner wants to get rid of it as soon as possible. When wholesaleliquidation companies buy these customer-returned products, they sell it to secondary resellers at a fraction of cost. The products obtained in this manner are not brand new, but it is the responsibility of the liquidator to make sure that it is in perfect condition and it is fit to be sold and used again.
Overstock: Sometimes, retailers buy an overstock of certain product and fail to sell all of it. If that’s the case, they would like to liquidate Amazon FBAand get rid of this stock to clear space in their warehouse. For instance, seasonal items are sold for a certain period only, and then they become unfit to be sold to customers.
Closeouts: When a store shifts or closes down, it sells part or all of its old inventory in the form of clearance sale or closeout sale. Wholesale liquidators buy these stocks and sell it to secondary retailers.
So, if you are also thinking about liquidating your current inventory, then you can trust upon Merchandise USA to sell it and earn money. With the help of these experts, you can get best rates out from your stock that would have never been sold out.