Owners of both brick-and-mortar retail businesses and online retail businesses have shared responsibilities, even if they run their businesses in different ways. The owner of any retail business is responsible for acquiring quality products to sell as merchandise for competitive prices.
Seasoned business owners and rookie owners can buy wholesale merchandise from B2B liquidation sites such as DirectLiquidation. The next step is knowing what to buy and when.
Know what customers want
Using a liquidation marketplace to buy merchandise gives business owners many options to choose from. Products include those offered by major retailers as well as small companies.
To make these purchases of liquidated pallets profitable for their business, business owners should have an idea of what products they want to sell, and they should know what their customers want. Openly communicating with and engaging with customers — and welcoming and encouraging their feedback — provides business owners with customer and consumer insights into which products are in high demand.
Purchasing in-demand products to resell ensures that customers will be happy and the business’ profits increase. If they can, business owners should investigate what products are currently saturating the market, so they can avoid buying them and having to compete with numerous other businesses to get them resold.
In-demand products are not the only products that affect profits. Business owners should consider purchasing products that can be easily remarketed and resold. This ensures that products can be resold at the same rate or a quicker rate as they are purchased. These profits encourage reinvestment into more liquidated pallets and products.
To specialize or not to specialize
Having access to a variety of liquidated pallets enables business owners to choose whether they want to only purchase and resell specific products, or invest in direct products. For example, if a business owner decides they want to operate a hair store, they would have to buy and resell shampoo, conditioner, and other hair-care products. Someone running an electronics business would have to specialize in buying and reselling liquidated electronics.
A good tip for business owners who intend to resell liquidated merchandise is to make sure that the products they invest in can sell, and to have some knowledge about the products they are interested in. Making informed decisions allows business owners to increase profits, customer satisfaction, and customer retention.
Acquire relevant products
Business owners should follow consumer trends year-round and be cognizant of any seasonal trends in the sale and consumption of certain products.
For example, office and school supplies are typically in demand during “back to school” season in late summer and early fall. Seasonal products, decorations, clothes, and electronics are generally in demand around the time of Thanksgiving, Christmas, and other fall and winter holidays. Business owners can use this information to their advantage to stock their inventories ahead of time.
Expecting high sales at certain points in the year allows business owners to prepare for these high sales months in advance. Stocking up on products in advance enables business owners to get ahead of the competition and eliminate and avoid any potential shortage in products to sell that would cause them to lose out on profit.
Business owners who are attuned to what products are in demand (and will be in demand), and who know what their customers’ wants and needs are, can make the most of buying and reselling liquidated merchandise.