Everything You Need to Know About Liquidation
Liquidation is an industry that has seen a boom in recent years. The rise of online resellers, flea markets, and bin stores has led to a higher demand for quality goods at affordable prices. There is also a great deal of variety within the liquidation world. Whether you are looking to sell fashion, home goods, lawn tools, or accessories you can find a liquidation supplier to fit your needs. If you are interested in starting your own resale business there are a few key things you need to understand first.
What is Liquidation?
In the simplest terms, liquidation is the process of buying excess merchandise from a large business. The merchandise could include overstock products, customer returns, items pulled from shelves, and more. Many large corporations have decided to liquidate their excess goods as a way to offset the costs they incur from returned online orders.
Businesses that concentrate primarily on wholesale liquidation, such as Quicklotz, will purchase the liquidated merchandise from large retailers by the truckload. Once the truckloads are received the pallets of merchandise are available to be purchased by resellers. Wholesale liquidation companies are able to offer the merchandise at competitive prices because liquidated products are often priced to move. If you are starting your own retail or resale business it is important to understand the language of the industry, such as wholesale and liquidation.
Liquidation v. Wholesale
Liquidation and wholesale are very similar, and can go hand in hand, but serve two different purposes.
When a company chooses to liquidate their merchandise that means that any products they had must go. Since the products are overstock, returns, or clearance items the corporations are often willing to list them well below market value for the purpose of clearing out space on their shelves. In these instances, buyers are able to find inventory that is much more diverse at much lower prices.
Wholesale, in most cases, simply means buying large quantities of the same or similar items in bulk. This can be beneficial for individuals who have a retail business, but is not always the best option for resellers. Liquidation companies like Quicklotz are able to combine the two practices and offer wholesale quantities of liquidated products at competitive prices.
How Liquidation Can Benefit You
Purchasing your inventory through liquidation is a cost-effective option if you are interested in starting a resale business either online or in a physical location. You will be able to find quality products at affordable prices to ensure that your inventory stays fully stocked throughout the year. A few specific benefits of liquidation are:
- Diverse Inventory. When you purchase liquidated merchandise you likely will not receive restocks of the same product multiple times. This means that your customers will always have new products to buy, so they will continue to purchase from you.
- Higher Profit Margins. Liquidated products are offered either at or below market value because the corporations need to get rid of the products to bring in new things. This means that you pay less for the merchandise you buy. You can then turn around and sell the products at a mark-up and make significant profit.
- Products You Need. Many resellers choose to specialize in a particular product or type of inventory for their business. Some choose to sell luxury fashion apparel, while others focus more on accessories, toys, or home décor. When you purchase your inventory through a liquidation company you will find the unique products that your business needs at affordable prices.
Trust Quicklotz for Your Liquidation Needs
Liquidation companies are a fantastic resource for resale businesses and Quicklotz is consistently ranked as one of the top liquidation companies in the United States. We consistently offer high quality, diverse products at competitive prices to ensure that our customers can run their businesses successfully. If you are just starting out in the liquidation or reselling industry you can trust the team at Quicklotz to supply you with the inventory you need. Make an appointment today to pick your pallets and start your reselling journey!