‘Sourcing Liquidations: The Ups and Downs of Reselling’ – ‘Product Sourcing Newsletter’
‘Worldwide Brands’ has released their latest ‘Product Sourcing Newsletter’, complete with product sourcing tips for home-based e-tailers, upcoming trade shows, and spotlighted eCommerce wholesalers. The featured article is titled “Sourcing Liquidations: The Ups and Downs of Reselling”.
Sourcing Liquidations: The Ups and Downs of Reselling
By: Tisha Hedges, Director of Operations
Liquidated products are Customer returns and overstocks at retail stores. These types of products can be an excellent channel for acquiring merchandise at rock-bottom prices. Both provide distinct advantages and drawbacks you should consider when deciding which is right for your eBiz:
Customer Returns
Advantages: These tend to be popular, in-vogue products—they were purchased for a reason. Many were returned only because the size, color, or model was wrong, and are in perfect shape.
Drawbacks: You’ll get a higher rate of items cosmetically damaged or defective. Some didn’t work to begin with. Some the customer broke or defaced.
Overstocks
Advantages: Over 90-95% of overstocks should still be in perfect condition. Many are even in their original packaging.
Drawbacks: There wasn’t enough demand for the original retailer to move these items, even at deeply discounted prices. So it might be more difficult for you to sell them as well.
Many resellers feel these are acceptable risks. When you’re buying product pallets for pennies on the dollar, you’ll likely have plenty room for a solid profit. Plus liquidated products are great for loss leaders in your store.
When selling online, it is best to look at all different channels for getting products, drop shipping, buying in bulk and liquidation. All of these channels together can result in a very profitable business.
This article has been provided by Chris Malta’s blog. Find more great information about your online business on Chris’s site. HERE.
Product Sourcing Newsletter
* IMNewswatch would like to thank Worldwide Brands for granting permission to reprint this newsletter article.
Before purchasing with you, buyers must perceive that your business is legitimate and real. But establishing customer relations takes time. And if they don’t feel comfortable buying from you, you’ll never get a chance to develop those relationships in the first place!
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