Reselling Wholesale Returns

By Art Micklewraith
Returned merchandise goes under a variety of names. Shelf pulls, over stocks, and buy backs are all terms used to identify returned new merchandise. When shopping for returned merchandise online the prospective buyer should use all these terms in their searches. For wholesalers these returns are a pain in the neck and something they'd love to be rid of in a hurry. This is where the liquidation and return wholesaler comes in. There are many companies out there that specialize in making these returned articles available for smaller retailers at drastically reduced prices. Often times returned merchandise is the best way for a reseller to get a hold of new merchandise at a price they can afford.

Most returned items wholesalers, such as the Jacob's Trading Company, offer mixed lots of items from a particular product category such as apparel, furniture, or electronics. Almost any type of product a retailer could want is available from someone.

Usually returns are only available in whole fifty-foot trailer sized lots but this is not always the case. Some companies do offer individual pallets or even ‘box lots', which are significantly smaller than a trailer for very attractive prices. Needless to say, the larger the lots you buy the better the price you get.

Generally speaking all items are sold ‘as is' and while the merchandise may come from retailers that the buyer may want to identify themselves with, this practice almost always violates the agreement terms with the supplier.

You can occasionally find deals that come with free shipping but as a rule, transportation costs are not figured into the asking price and must be obtained when placing an order. Shipping terms are nearly always F.O.B. Actual shipping costs depend, of course on the distance the load is being shipped. In any case, the savings on the price of the merchandise more than compensates for shipping expenditures.

Most wholesale return companies are used to dealing with auction site retailers and sometimes offer help and advice on getting started in the business of reselling their merchandise.

Just a little bit of time spent shopping return merchandise companies turned up some very good deals. For example, a ‘box sized lot' of New York Yankee and Boston Red sox baseball caps was selling for $750 for 120 units or $6.50 each. A lot of sleepwear that promised nightgowns, pajama sets, and lounge wear for $375 for a case of 100 items.

For the reseller looking for more than a caseload there is a 26 pallet sized truckload of electronics, hardware, and tools for $8,900. A truckload of toys, baby items, and house wares can be found for $4,800. Another supplier offered a 3 pallet minimum order of glassware for $695 per pallet. A similar dealer offered mixed pallets of men and women's apparel for $595 per pallet.

These are just a few examples of the literally thousands of deals on shelf pulls available to the reseller looking to get tremendous deals for their auction site or flea market business. There are countless suppliers out there that a little online shopping will reveal to you. Most will require you register with them before they will reveal prices but it is well worth the time. You might get some junk email out of it but you also get access to terrific prices.

Obviously there is a risk when ordering merchandise without knowing exactly what you are getting but established dealers aren't interested in ripping you off. Nearly every offer comes with a general description of what the loads contain and can be trusted to deliver what they promise. Companies like Jacob's trading have been doing business for many years and they don't stay in business by delivering shoddy or damaged merchandise.

The importance of truckloads and palletted returns to small retailers can't be over stated. If your business has been operating for any length of time using only traditional wholesale items you are in for a very pleasant surprise when you take a look at the great deals available for your business.