Genco Marketplace, Ah yes, I’ll take those pallets. Pop it on ye ole credit card that offers flexible terms, and if not happy with my purchase, I’ll charge-it back and fix them! I hear this playing out like a 80’s Devo record. Who remembers Devo? Ah, never mind…
This announcement comes as a big surprise to me because the norm within the liquidation industry tends to be the not-so-safe-bank-initiated wire transfer. The wire has worked for years, why would Genco now offer credit card processing? Well, as Genco states, there are a few guidelines buyers must met before the plastic can be whipped out.
I’ll paraphrase Genco’s terms from this page:
- To use a credit card, the buyer must have made a purchase via wire transfer within the last 18 months. There is a two week waiting period from the first purchase via wire transfer before a buyer can re-order using a credit card.
- Genco will apply a 3% charge to credit card order (to make up for their cost to process order via their merchant provider)
- Genco will only accept credit cards for purchases made online. A buyer cannot use a credit card through a sales representative by phone.
- Credit card purchases are limited to $6,000.00 per qualified buyer, per day
Ok, what’s going on with these credit card terms? Well, here is my take: Genco is trying to qualify credit card buyers in an effort to lessen the risk of the dreaded charge-back occurrence. Genco wants to make sure buyers understand what salvage merchandise entails, prior to allowing a credit card purchase. Genco is assuming that if a customer has purchased and received a load historically, they will be more apt to understand what to expect when buying salvage goods, lessening the risk of buyer dissatisfaction and subsequent charge-backs.
It takes extreme dedication and lots of creativity reselling salvage goods. I hate to say it but the first salvage good purchase usually dictates whether or not a buyer has what it takes to order a second load.
I think the move to accept credit card is great, if you’re a Genco ongoing buyer it’s time to rejoice.
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