Sourcing closeout and liquidated products are a great way to prepare for the holiday season. Vendors can buy pallets or truckloads of merchandise at crazy low prices and sell for a big profit. Customers are always prepared to spend a lot during the holidays, whether the gifts are for loved ones or even themselves. It’s the season of giving.
However, having competitive prices is still crucial to your business because your products rival those of other vendors who might be selling similar products. It’s easy to make a profit off of closeout and liquidated merchandise, but don’t get ahead of yourself. Sourcing from specific companies allows you to purchase in-demand goods at rates well below regular wholesale, which you can then sell at price points below your competitors, without sacrificing profit margins.
Wholesale liquidators are suppliers who have large amounts of surplus wholesale merchandise. Many quality liquidators work with name brand retailers to purchase their extra inventory at low rates. This extra merchandise can be from customer returns, seasonal changes, overstocks, or imperfect qualities. Basically, liquidators handle the items major retailers no longer wish to sell.
Closeout suppliers are very similar to liquidation suppliers. They have a limited and large amount of a particular product they are looking to sell at a highly discounted rate. Just like liquidators, closeout merchandise is usually overstock or out of season merchandise.
The Earlier, The Better
It’s important to start prepping for the holidays as soon as you can. Not only can this help you get a better handle on business when shopping starts to get crazy busy, but you’ll also have products available for early holiday shoppers, leaving them more time to come back and tell their friends about your great merchandise. According to statistics from Yes Marketing an email marketing provider, 2018’s sales during the first half of Q4 grew at a much higher rate from the previous year compared to the second half of the season.
If shoppers are likely to take on the same behavior as 2018, then they will definitely be doing their holiday shopping earlier than the norm. Average conversion rates for email marketing campaigns in November (6.1%) also doubled December’s average (3.1%), so be sure to start sending your holiday emails to consumers in the beginning of Q4.
Buying Factory Closeout Merchandise
When businesses need to clear out the older merchandise to make room for newer products, they mostly offer something that is called factory closeouts. Through these, retailers will offer seasonal goods, store closing merchandise, returns and old products that have been replaced by newer goods, according to Direct Liquidation. These are the products that are sold at below original wholesale costs and will be ideal for any sort of liquidation. Aside from holiday products, resellers can also find other seasonal items including summer products, which you can get for a super discount in the next month or so since September is when retailers are looking to get rid of their summer stock.
Sourcing Liquidation Companies
Direct Liquidation is a great company to get started with sourcing pallets of products. Not only is their website super easy to use they also have pages upon pages of brand name products from Walmart, Lowes, Target, Amazon and other major retailers that are updated daily.
On top of their wide variety of name brand bulk products, Direct Liquidation has an easy money-saving technique to get liquidated merchandise to resellers like you. As they have grown and added to their inventory, the company has an auction option on their website instead of the traditional “buy now” option for pallets of goods. Depending on the quality of inventory (new, like new, used), the starting bid is either $40 or $99. If nobody else bids, you get to take it all, and there are no reserve prices on auctions.
Some of the products they offer include pallets of home improvement tools, fashion accessories, office supplies, apparel, toys and more. Depending on the retailer they buy from, you can choose from pallets with assorted merchandise or pick one that holds a specific category. You can easily sign up for an account and start bidding on their website at www.directliquidation.com.
SkyGroup Closeouts is another great closeout supplier for sourcing new products. The company deals with a variety of national and ecommerce retailers who sell returns by the pallet and truckload. With new loads coming in every day, their inventory changes quite a bit. You can source everything here including apparel, furniture, home goods, food, footwear and toys, just to name a few. See more of their inventory at SkyGroup Closeouts.
All Stars Wholesale offers tons of surplus merchandise, great customer service and low wholesale prices. Having been in business for over 13 years, this company proudly sells wholesale lots, warehouse stock, salvage merchandise, store liquidations, overstocks, customer returns, shelf pulls, store closeouts, excess inventory and truckloads of general merchandise that are a perfect fit for any store or booth. All Stars Wholesale has everything you need from health and beauty, jewelry, and home decor to cooking products, candy and toys. Check out their website, www.allstarswholesale.com.
Discount Truckloads is a wholesale supplier of retail returns, shelf pulls, overstock, liquidation and closeout merchandise. They wholesale new and used products by the pallet, piece, and by the truckload. On their website, you can find all things general merchandise such as furniture, tools and hardware, electronics, bedding, housewares, clothing and much more. New products arrive to their warehouse daily, so they encourage sellers to check back often for more deals on their website at www.dtlots.com.
CloseoutCentral.com is also another great online platform for sourcing liquidated products. The homepage offers a list of featured lots from well-known and reliable companies and if you don’t see anything that catches your eye, you can search for specific products and see if there are any deals going on. You can sign up for a free daily alert email to get in on all the lots before anyone else. Get started with sourcing the best deals at www.closeoutcentral.com.