Use These Tips for Buying Wholesale Customer Returns to Maximize Your Profits as an Online Seller

When you are selling online through sites such as Amazon and eBay, you need to have a good supply of products you can provide to your customers. Buying products for your inventory has the potential to be expensive and not as financially rewarding as you might have hoped. However, you can find methods of getting great items at reduced cost. Namely, you can do this through buying wholesale customer returns and reselling them.

When you buy wisely, you can save a bundle on these items, and turn around to resell them for maximum profits. Even though you will not be charging retail prices, you can still make a lot on customer returns. Since you are selling those items, which generally have little to nothing wrong with them, at a lower price than retail, it has the potential to provide you with more customers. After all, everyone likes to save money.

Check the Manifest to Make Sure the Items Are Right for Your Market

While it can be tempting to buy wholesale pallets of customer returns through liquidation auctions and companies, you need to be certain you are choosing the right products for your audience. If you have a niche area where you are selling, such as only clothing or accessories, you may not want to start selling automotive parts, or electronic items as your core customers are not necessarily going to be interested in them.

The items that are on the pallet need to be items that your customers want and that they can use. In addition to the types and brands of customer returns on the list, the manifest should also give you a good idea of the condition of the items.

You want to make sure you can sell the items that you buy. A good way to do this is to look up what those returned or used items are selling for through eBay and Amazon.

Get an Idea of the Condition of the Customer Returns

Ideally, you will be looking at items that do not have anything wrong with them, and that are ready to be resold right away. Some of the items might have been refurbished, but so long as they are back to the manufacturer’s specifications, and you let your buyers know that they are refurbished, there is no problem in selling them.

Of course, there are some out there who buy items and then sell the parts to customers who need them to make their own repairs. When it comes to certain types of electronics, for example, this could be a viable option. For instance, if someone buys gardening equipment, they might take certain types of mowers that are no longer working, remove the parts that are still viable, and then sell those.

As long as you know your business and the types of items that you need, you should have no trouble knowing the best wholesale customer returns for your business.

Do Not Overpay

Those who are new to buying from wholesale suppliers do not always take the time to know just how much the goods should cost if they still want to make a profit. They will overpay on items, and even though they might still make a profit, they have not maximized their gains. You want to know the potential resale value of the items on the pallet, and that means you need to know your niche well. How much are people willing to spend for certain types of items? Use this information when you are calculating a good price for the pallet of returns you want to buy.

If the supplier is asking too much, or if the auction bid prices start to get too high, you want to exit. It is often better to look for another pallet that will have a better price so you can make a larger profit. One of the worst feelings is overspending because you have overestimated the value of the wholesale customer returns.

Find the Best Wholesale Suppliers and Liquidation Auctions

If you want to have access to the best goods and a steady supply of different items you can sell within your niche, you will need to make sure you are working with quality suppliers and liquidation auctions. When you are buying wholesale, make sure that the company has a good reputation in the field, and that they are not going to close shop tomorrow.

You want to have a company that you can buy the wholesale customer returns from time and again, even though you might not always be able to get the same types of merchandise – that’s the nature of the business. In addition, you never want to put all your eggs into one basket. It is advisable to have a network of different suppliers that can offer good products that fit into your niche. This way, if one of the companies does not have the items you need, or if one goes out of business, you have your backups ready to go.

Understand the Freight Costs

When you are buying online, you need to ship the items that you buy to your location. Whether you have a warehouse where you store items or you are still selling stock kept in the garage, you want to make sure that the cost of the shipping does not eat too much into your profits. Get an estimate of how much it will cost to ship before you put in an offer for the pallet.

Remember that certain items like electronics or homewares may be fragile, and will need additional packaging to ensure their safety. Add this to the cost of the pallet, as well as any other costs associated with the purchase. Then, you need to make sure that you still have the potential to make a nice profit off of the goods that you are selling.

Buying wholesale customer returns and then selling them for a profit works well for many companies, and when you follow some basic tips, you can make it work for you while maximizing your profits. In addition, these tips can help you to truly understand your overall costs so you can be sure you’re growing and earning as much as you should be.

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Henley Johnson

Henley currently works as a sales representative for Direct Liquidation, assisting businesses with product sourcing of liquidated merchandise from the largest retailers in the world. Whether you are looking for a pallet or a truckload Henley is here to help you grow your business.

View Henley’s Bio on YouTube.