Factors to be considered for Clearance and Liquidation Stocks deal

Clearance and Liquidation Stocks are the best sources for amazon and eBay sellers where sellers can get products at amazing discounts. But on the other side, this type of sourcing is very risky and one can get into trouble if their inventory is damaged or worthless. Sellers might end up with useless inventory. Stocks are difficult to sell in the online marketplace. Let’s check the factors to be considered while buying clearance and Liquidation stocks;

Other retailers sales Liquidation stocks when they are unable to sell in their shops. A particular item is pilled up in their warehouse. Liquidation stock might also mean the company is closing down or relocating somewhere else, and before the next step the liquidation company is clearing the inventory. To clear the inventory of old items, some companies will sell their stock to liquidation companies and they will later sell it online in smaller quantities. They generally sell in bulk quantities and amazon or other online sellers can take advantage of this.

For example, BritDeals is one of the popular liquidation company with over 100,000 products in the UK. One can find mint condition items with wholesale prices. The main advantage of this market place is one can negotiate the price and make a deal. One can find almost all categories found in amazon or eBay. 

Wholesale sellers strategy

warehouseMany new sellers think they can work out good profits and buy items from liquidation stock. Online wholesale sellers show them the manufacturer’s suggested retail price (MSRP). New buyers believe that they actually can sell to MSRP. However, they fail to sell for breakeven as well. One must analysis the product’s current value by looking at the actual retail price.

Good market research helps to identify the product value, trend, retail value, and inventory condition. The condition of products impacts the value directly, however, while buying liquidation stock it is difficult to verify the quality of items. Although one can see “New” on top of the box, it is impossible to verify each item individually. The item condition inside the box is unknown. These are all the common problems one might face while finding the liquidation stock. 

Apart from the above-mentioned factors, one must consider product returns while acquiring clearance or liquidation stock. Can the damaged items return? Will I get a refund for damaged products? Inventory not only just faulty, but there might be wrong sizes, wrong colour or model. These are the question one must ask for the sellers before making a deal. Advertise with low-cost tag attract buyers and you will end paying more. 



Finally, Shipping plays a vital role in deciding the price value. Some companies or market place will charge the shipping fee. Buyers will also arrange to ship sometimes. Third-party contract and in some cases free depends on the market place. It is recommended to calculate the cost of shipping before the trade.