Question: I would like to know how, and where Burlington Coat Factory, JC Penny’s, Marshall’s, are finding the Tahari, Le Suits, and Kasper, etc. I have a boutique, and would like to invest in some high end closeout suits. Even Jones of New York. Is there any way of knowing what you’re getting? Please help, this would be a great way to start out! I just don’t know too much about this, but I know what I want to sell. Much appreciation, shannette
Answer: Hi Shannette, thanks for the question. Because most of the liquidation clothing lots available today come assorted, choosing individual styles, sizes, and brands is not the norm. To pay a low cost per item, one must take a mixed assortment of clothing from Macys, Bloomingdales, and Nordstrom.
There are a choice few off-price apparel wholesalers that will sell to small retailers offering specific lot choices including brands, styles, and retail price ranges. One supplier that comes to mind is DLM Off price based down in Southern California. The only issue is, as logic would dictate, specific items requested will cost additional dollars. This may not be an issue for you and your boutique; it may just be you have not found a supplier to offer such a service? Well, I have good news, DLM is one such supplier.
You also have the option of going to Macys direct to buy liquidation merchandise. They sell what they call “Job out” loads of shelf pull clothing, which simply describes unsold store stock items. Job Out lots typically will show retail pricing that has been marked down repeatedly. You need to know that small fish, you and I, are limited as to what we can buy. Loads offered to the general reselling public are loads typically within the range of $5k (customer returns) to $25k dollars (job out lots). The larger fish, as you mention (Marshalls, Ross, TJ Max, etc), will have first dibs on large loads over $100,000.00.
Macys offers several categories of job outs including women’s dresses, suits, and coats. Your typical cost will fall between 20-30% of wholesale.
Was this helpful, do you have further questions? More information including contact information for other suppliers can be found within our Liquidators Guide.
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