If you are looking for merchandise to sell in an online store or to offer in quantity to retailers, you may be wondering what the difference is between a sale and a surplus of merchandise.
I have written on this topic for new liquidator training and it is important to address it here as well. Let’s take a brief look at this head scratcher so you can go ahead and make the right decision for your business.
Let’s start by examining what we mean by:
Clearance merchandise
A sale is a sale or a discontinued price of products or merchandise. When products are discounted below their normal wholesale price in order to take them out and bring in new stock, they are often said to be on sale. Some retail stores regularly advertise that they sell “clearance merchandise.”
What this means is that they buy through channels and sellers who have merchandise that is being discounted.
This is an indication that merchandise may, at some point in the future, be available at an appropriate price for your surplus clearance business. This can happen if the seller has leftover or leftover merchandise at the end of the clearance sale.
One way to find this type of closing surplus is to search for warehouse sales in your city. They are often advertised in the print and online weekend classified sections of local newspapers.
Sellers will want to liquidate the remaining merchandise at the end of these sales. In most other situations, when it comes to a sale, negotiating the price of the merchandise is almost always necessary, as this price level is generally above the settlement price.
Now, let’s take a look at what we mean by:
Surplus merchandise Surplus means a quantity or quantity greater than necessary. The excess inventory that a business has, beyond what it needs or wants, is often called surplus merchandise. It is, in effect, surplus merchandise that must be moved or sold to make way for new inventory.
Merchandise classified as surplus offers potentially high returns on the investment dollar for the surplus liquidator and for the ultimate retailer because this new, retail-ready merchandise can be purchased at a lower price than new products in normal wholesale channels.
Surplus merchandise, such as closeouts, can often be retail ready, meaning they are packaged and can be placed on a retail store shelf or listed in an online store for sale to the consumer market.
This merchandise is also sometimes loosely described as clearance merchandise. But don’t be fooled. It is NOT the same for a serious entrepreneur and, when classified correctly, it will usually not produce the same returns.
Both liquidation and surplus merchandise can, of course, be profitable for resale. And both types of merchandise cover a wide range of retail products, like those that can be found in almost any store or shoppe.
The difference may simply be the price the seller is willing to accept for you to commit to your inventory. Surplus can be purchased for up to 90% less than wholesale. Find merchandise at this price point and you will have complete clarity on what you have discovered!
Enter a drug store, discount store, electronics store, gift store, jewelry store, clothing store, hobby store, hardware store, party decoration store, dollar store, costume store, pet store, the list goes on and on. Name almost any type of merchandise and there is an excellent chance that at some point that type of merchandise will find something categorized as surplus merchandise, ready for liquidation.
As a savvy entrepreneur, you need to keep an eye out for ranking. If you are looking for merchandise, you may find genuine surplus merchandise at a clearance sale … but only when that sale has concluded and there is some leftover merchandise that must now be liquidated.
