There are many on and offline entrepreneurs looking for low cost merchandise that they can resell. One of the areas which will have a never ending supply of goods will be retail and wholesale store returns. Many aren’t aware but if they approach this area the right way, they can turn these products into profits unlike anything they have ever imagined. To understand the profits that can be made, you will first have to understand how and why retailers are able to provide you with store returns.
Returned items are either disposed of or liquidated
Retailers are constantly receiving products for return, and most of the products that end up coming back cannot be restocked on the shelves because they have been opened, and in many cases used. Retailers have a job to do and that entails contacting the manufacturer or vendor to have the product returned for credit or exchange.
Many vendors will issue a credit and the will not require the item be sent back. The retailer will then have two choices, either to dispose of the product or sell it. You have to understand that many of the products we are talking about have never been used, they’ve been used and returned because it wasn’t what the customer wanted, or they are truly defective.
Retailers want to make money and to be honest – they make no money when the returned items are disposed of. They also understand that there is a demand for the returned products they have, and will make every effort to move these products to bulk product buyers like you.
Why are returns such an excellent money making opportunity?
You may not know this but the truth is, returned products can be sold for less than distressed merchandise, and there is a lot more available. Closeouts, irregulars, and shelf pulls will make more money but there is way less to be had because they are harder to find. With the computer technology available today, retailers are getting a lot better at keeping inventory down so these closeout deals and shelf pull sales are quietly slipping away.
Wholesale store returns on the other hand will never go away because as people continue to buy, they will continue to return. Each outlet will need a way to move these products, and aftermarket buyers like you will be able to capitalize on this perfect opportunity.
Success factors you need to be aware of
Before rushing off looking for the opportunity of a lifetime when it comes to wholesale store returns, it will be important to understand some of the key factors used in this business in order to be extremely successful. Making sure you know the cost and your marketplace. A lot of buyers have been doing this kind of marketing for years and as a result they have developed a technique.
It will be extremely important to always take a long term view, diversify vendors and products, and create long lasting relationships with supply sources. All of this can be accomplished very easily when working with the right company from the beginning. If you are an on or offline entrepreneur and you are looking for new ways to find product sources that you can buy in bulk for pennies on the dollar and turn around and sell them for huge profits, wholesale store returns is the way to make a lot of money.
Our 2020 Liquidators Guide chronicles 12 years of wholesale product sourcing experience and includes my personal black book of direct source contacts! As an industry expert, I'll share the success I've enjoyed along with the mistakes I've made buying and reselling liquidation merchandise.
If you are thinking about buying pallets of liquidation merchandise from a liquidator, broker, or direct from department stores, you need to check out The Liquidators Guide