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Q: Large loads of surplus, overstock, return merchandise... Computers, electronics. ( Answered 4 out of 5 stars,   1 Comment )
Question  
Subject: Large loads of surplus, overstock, return merchandise... Computers, electronics.
Category: Business and Money > eCommerce
Asked by: omnitel-ga
List Price: $200.00
Posted: 21 Aug 2002 14:30 PDT
Expires: 20 Sep 2002 14:30 PDT
Question ID: 57103
We have visited many websites offering to sell pallet or container
loads of open-box, unclaimed, surplus merchandise, returns, etc. from
major department stores. We are looking to find such materials
ourselves, particularly electronics and computer returns, audio and
visual equipment and other consumer electronics, automotive parts,
power tools. The problem we have is locating the source of these
materials, essentially cutting out the middleman and buying these
materials for ourselves. We want to know where we can find a direct
source for container loads of the above mentioned items. Brand names preffered!
Answer  
Subject: Re: Large loads of surplus, overstock, return merchandise... Computers, electron
Answered By: blader-ga on 21 Aug 2002 19:10 PDT
Rated:4 out of 5 stars
 
Dear omnitel-ga:

Thank you for your question. I have found quite a few places online
where you may obtain surplus assets directly from the source. However,
these mostly come in the form of Business to Business (B2B) portals
where retailers and the wholesalers such as the ones you have found in
your own searches come together and bid on loads.

With few exceptions (such as QVC), the only way other than the above
to get supplied directly with pallets of surpluses from major
retailers is to contact the individual stores directly. Unforunately,
they usually will have already contracted out their liquidation
inventories out to established wholesalers.

Rather than contacting each individual store, the most direct way to
obtain excess inventory is to take advantage of the the numerous B2B
portals that were created especially for your purpose. Major retailers
directly advertise their own excess inventory on these services.

Most large chains do not have their surplus inventory information
available online, for obvious marketing reasons. Although they are not
a retailer per se, QVC does offer a liquidation program that is more
public than most:

"QVC's proactive approach to business has proven pivotal in
establishing us as the world's leading electronic retailer. In keeping
with that tradition, QVC partners with established wholesalers,
retailers, and exporters to liquidate inventory that QVC no longer
features on air.

Since 1986, QVC has been supplying its liquidation buyers with
valuable merchandise. QVC sells numerous types of products for
liquidation: accessories, apparel, collectibles, dolls, electronics,
exercise equipment, home products, linens, and seasonal merchandise.
The large variety of product featured in our programming is reflected
in a wide range in price among QVC liquidated merchandise. To become
better acquainted with QVC's Liquidation Department, please read on,
or call us directly:

QVC Liquidation: 1-484-701-8117"
http://www.qvc.com/hqliquid.html

They have a FAQ available in the above link. As you know, it mentions
specifically "established wholesalers," and an application process is
required.


 -- B2B Surplus Portals --

RetailExchange.com is the foremost provider in Business to Business
surplus solutions that puts directly together retailers with excess
inventory with retailers who are looking to buy their inventory
through a marketplace format.

"RetailExchange is the leader in excess inventory solutions for
manufacturers and retailers seeking to buy or sell excess consumer
products. A subsidiary of Gordon Brothers Group, a global leader in
retail inventory liquidations, we leverage unparalleled retail
expertise."
http://www.retailexchange.com/

As is the base with most B2B portals, registration is required proving
that you are an applicable business.

Liquidation.com is another service very similar to RetailExchange.
They are an apparently very reputable company, as they are contracted
also with the operation of the liquidation website for the United
States Government. (see govliquidation.com near the end of this
answer)

"Liquidation.com offers the most comprehensive solution to convert
surplus assets into cash. Our active customer base and integrated
services ensure a fast, cost effective, and reliable way to buy or
sell surplus."
http://www.liquidation.com/


 -- Other Surplus Portals --


Other than RetailExchange.com, and to a lesser extent,
Liquidation.com, there are more B2B business portals. But there is no
guarantee that all of the sellers in these other portals are actually
retailers rather than just redistributors. I do know that there are
real retailers who make use of the below services, but there may be
redistributers active as well.

You wouldn't know it without a search, but Ebay is actually one of the
biggest exchanges for B2B transactions. The appropriate category which
suits your needs specifically would be Business/Large Lots, which
linked directly below:
http://pages.ebay.com/catindex/catwholesale.html?ssPageName=BIhubMBlrglots1

CommoditySurplus is another great resource for fixed price lots
directly from the manufacturer or retailer.
"CommoditySurplus's mission is to find buyers and sellers of surplus
stock for our clients. When you post stock with us we will actively
seek a buyer or seller for you using our network of thousands of
surplus dealers worldwide. Our business is built on relationships,
trust and knowledge of our client's requirements and we provide all
the business-to-business facilities required for secure international
trade in surplus stock."
http://www.commoditysurplus.com/


 --Government Surplus Portals--


Finally, the United States government offers a variety of methods by
which you may directly obtain their surplus assets:

Government Liquidation (Operated by Liquidation.com)
http://www.govliquidation.com/

GSA Auctions
https://www.gsaauctions.gov/index.jsp

FirstGov Shopping
http://www.firstgov.gov/shopping/shopping.shtml

Defense Reutilization and Marketing Service
http://www.drms.dla.mil/



Related Google Directory:
http://directory.google.com/Top/Business/Industries/Wholesale/Liquidators/


Google Search Strategy:

b2b surplus
://www.google.com/search?q=b2b+surplus&hl=en&lr=&ie=UTF-8&safe=off&start=60&sa=N

b2b wholesale
://www.google.com/search?hl=en&lr=&ie=ISO-8859-1&safe=off&q=b2b+wholesale&cat=&sa=N&tab=dw

pallets OR pallet wholesale OR liquidator OR surplus jcpenney OR
k-mart OR walmart
://www.google.com/search?q=pallets+OR+pallet+wholesale+OR+liquidator+OR+surplus+jcpenney+OR+k-mart+OR+walmart&hl=en&lr=&ie=UTF-8&oe=UTF-8&safe=off&start=10&sa=N

pallets retail wholesale OR liquidator OR surplus
://www.google.com/search?hl=en&lr=&ie=UTF-8&oe=UTF-8&safe=off&q=pallets+retail+wholesale+OR+liquidator+OR+surplus&btnG=Google+Search

closeouts search OR direct OR finder
://www.google.com/search?q=closeouts+search+OR+direct+OR+finder&hl=en&lr=&ie=UTF-8&oe=UTF-8&safe=off&start=60&sa=N

liquidator OR liquidation retailer contacts
://www.google.com/search?q=+liquidator+OR+liquidation+retailer+contacts&hl=en&lr=&ie=UTF-8&oe=UTF-8&safe=off&start=30&sa=N

"department store" OR "manufacturer" OR "warehouse" "salvage loads" OR
"pallet" OR "pallets"
://www.google.com/search?hl=en&lr=&ie=UTF-8&oe=UTF-8&safe=off&q=%22department+store%22+OR+%22manufacturer%22+OR+%22warehouse%22+%22salvage+loads%22+OR+%22pallet%22+OR+%22pallets%22&btnG=Google+Search

"department store" OR major retailer liquidate OR liquidation
://www.google.com/search?hl=en&lr=&ie=UTF-8&oe=UTF-8&safe=off&q=%22department+store%22+OR+major+retailer+liquidate+OR+liquidation&btnG=Google+Search

direct source overstock OR surplus
://www.google.com/search?hl=en&lr=&ie=UTF-8&oe=UTF-8&safe=off&q=direct+source+overstock+OR+surplus&btnG=Google+Search

I hope this helps! 

Best Regards,
blader-ga
omnitel-ga rated this answer:4 out of 5 stars
Very informative, most of this we already know, but some of the extra
links we've found have been very helpful.

Comments  
Subject: Re: Large loads of surplus, overstock, return merchandise... Computers, electron
From: expertlaw-ga on 21 Aug 2002 22:02 PDT
 
"If you want to go there"...

You can find suppliers in Asia and the Pacific Rim who will provide
gray market goods (goods not meant for sale in the United States,
which can often be imported and sold for less than U.S. retail) - but
generally such goods will not have a warranty in the U.S.

You may also be able to obtain refurbished merchandise directly from
the manufacturer. If you are able to buy and warehouse such goods in
quantity, you may be able to get good pricing (although perhaps with a
limited warranty, as opposed to a full manufacturer's warranty). For
an example of a website that sells refurbished goods, see
RefurbishedGoods.com (Caution - obnoxious pop-ups):
http://www.refurbishedgoods.com/

I recently had a client whose husband was in the business you are
trying to penetrate. It was my impression that the people who dominate
the trade in surplus merchandise are a very tight and relatively small
group, who do not like competition and do not share their trade
secrets. These people, presumably, are among the middlemen you are
finding - and they can make enormous, even staggering, annual incomes.
This is likely a very tough market to penetrate.

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