Do you want to know how to buy Amazon return pallets? Read this guide to know further.
According to Loss Prevention Magazine, consumers will spend $565 billion online with U.S. merchants in 2020.
The amount represents 14% of all retail sales in the U.S.! Even though that number is impressive, that doesn’t mean everyone receives their products and lives happily ever after.
From 2019 to 2020, online merchandise returns more than doubled, totalling $102 billion. Consumers return online purchases for many reasons, including receiving damaged products 20% of the time, receiving products that look different 22% of the time, and receiving the wrong item 23% of the time.
Amazon Returns: Where Do They Go?
The return rate for online purchases is 30%, as opposed to just 8.9% for physical store purchases.
Since nearly 49% of retailers offer free returns shipping in the U.S., this shouldn’t be surprising. Customers like it, but retailers hate it.
Why are so many Amazon returns going to the wrong places?
Amazon sellers and retailers could put them back on shelves but think of the costs involved in inspecting, repacking, and relisting. From the perspective of cost-savings and time-savings, it is more economical for companies to liquidate these returned items.
They say what goes away must be replaced with what comes in.
There are some Amazon returns that aren’t damaged or faulty, so that’s good news for resellers!
We’ve said it before, sometimes items are returned due to buyer’s remorse, the item no longer being needed, or the item is different than what was anticipated.
The majority of these returns will therefore be new and unopened.
Through online liquidation marketplaces, large retailers like Amazon are able to sell pallets of customer returns to liquidators, giving small businesses and resellers access to that merchandise. It is now easy, accessible, and affordable to purchase branded and unbranded goods on these online marketplaces.
Liquidating warehouses is basically a story as old as time. Bringing in new merchandise has always required clearing out overstock, customer returns, and seasonal items. This process has been largely electronic over time.
You can now access Amazon return pallets by logging on to your computer or mobile device, thanks to growing technology.
What are the benefits of Amazon return pallets?
Anyone can buy Amazon return pallets. Depending on how much money you have saved or what line of credit you have, some people start with a few hundred dollars. There are many ways to resell an item.
Several resale platforms are on the rise, including Poshmark, Thredup, OfferUp, and others.
These liquidation pallets are a good way to build your inventory if you are thinking about starting a business or having a side job. A product sold on the primary market is likely to be available on the secondary market as well. Everything from clothing to electronics to health and beauty products is resold every day.
The best way to determine what will work best for you, and ultimately, your customers, is to specialize in a specific category or begin with general merchandise pallets.
Bulk purchases are also an option, so you can acquire a lot of inventory at once!
If you have many resell channels ready to go, or if you own a discount store, frequent flea markets, or plan to export, then this makes sense.
Amazon returns are a steadily growing business, which is why owning your own resale store is a smart move.
These bundled up a lot of Amazon return pallets could just be a gold mine for your resale business when you consider their variety of inventory.
Amazon Return Pallets: Where to Buy?
In liquidating merchandise, major retailers want to move merchandise quickly and for a low price. In these situations, online auctions and customer returns pallets are useful.
Amazon return pallets can be purchased in a few different ways. Before we get started, let’s cover a few basics.
Know what to expect
While some items may be ready for resale immediately, others may need to be repaired, and some might even be able to be sold for parts. Resellers still need to invest in these heavily discounted pallets.
Your money will be made back when you resell them for a profit! If necessary, ensure you know what condition the inventory is in and have the time to make any repairs.
Repair shop owners and anyone looking for parts can even benefit from salvaged merchandise. If you’re interested in Amazon return pallets, check the manifest associated with these pallets to see what you’ll get and its estimated value.
Find a reputable seller
Take into account the experience of other online resellers who have used the platforms you’re considering.
Your source might have valuable insight into where you should source certain categories and who you should avoid. Another factor to consider is the customer experience. By doing so, you’ll avoid shady deals with sellers pretending to be reputable!
Check for online reviews
Trustpilot.com, for example, is a good resource to bookmark. If you want to compare prices and other auction listings, you will need to place your research on an Excel sheet or open a series of tabs.
Making more informed bidding decisions will require you to gain as much insight as possible into the product, company, quality of goods, and return policies. Liquidation merchandise is usually final sale. However, conditions vary from retailer to retailer.
Consider your shipping costs
The cost of shipping is what makes or breaks a deal for any reseller. Shipping can be more expensive than returning a pallet of goods.
Estimate the cost of shipping before bidding.
It’s possible to pick up pallets at distribution centers if you’re within driving distance of the seller. If you’re lucky and within driving distance, take advantage of this option.
You may be able to minimize some of these costs by bulk buying or combining shipments so you don’t have to spend hundreds of dollars on small, individual shipments.
Where to Buy Amazon Return Pallets?
Oftentimes, it can be difficult to find a reputable seller. Large retailers and manufacturers have traditionally made it difficult for small and medium-sized buyers to purchase excess inventory directly from them; however, new, efficient systems are automating the manual work otherwise necessary for them to sell to larger buyer groups.
A good example is online auction marketplaces.
Reselling successfully requires research. Find out who are the best liquidators and wholesalers. Whether to buy directly from a liquidator or from a wholesaler depends on your preferences.
Amazon Liquidation Auctions is a great place to find a range of inventory for your business. Liquidation pallets can be ordered directly from the world’s largest eCommerce company by registered business buyers.
Buyers in the United States can place bids on overstock home goods, apparel, books, consumer electronics, accessories, groceries, footwear and many more. Start bidding on overstock inventory in bulk as soon as you are approved by Amazon.
Last but not least, never resell products that are covered by an original manufacturer’s warranty. If you plan to sell products that include warranty cards, be sure to discard them.
With Direct Liquidation, you can purchase Amazon returns pallets at prices below typical wholesale values, giving you the opportunity to maximize your profit on resale.
Do your research, find the right products to resell, and then buy Amazon return pallets from Direct Liquidation to set yourself up for success.