Have you ever wondered what happens to items that are returned to Amazon by customers? In some situations, these items are piled onto pallets and sold to buyers at auction. In fact, Amazon returns pallets have become somewhat of a fad in recent years, with buyers bidding on them at auction and then opening up their contents on video to show off what merchandise they were able to score. Amazon returns pallets are all about maintaining liquidity for the retail giant; however, buying Amazon liquidation pallets is about more than just racking up views on YouTube or TikTok. In fact, buying merchandise that’s been liquidated from Amazon’s marketplace online can be a great way to kickstart your own resale business.
Getting to purchase items from a liquidation company by bidding on them and snagging a good deal could be exactly what you need to set up your own online store on a marketplace like eBay. Best of all, there are dozens of different product categories to choose from when buying pallets from Amazon direct liquidation warehouses. Read on for just a few tips and tricks to keep in mind as you look to flip apparel and other goods by bidding on them for less-than-retail price.
Set a maximum bid.
While buying direct liquidation pallets is a great way to score a good deal, if you get caught up in the fun of bidding in an auction, you may wind up overpaying for your items—even if you’re getting good stuff in good condition. In order to maximize your profits, it’s important that the Amazon pallets you bid on and win contain a good amount of liquidation stock under MSRP. As such, it’s a good idea to do your research by looking at pictures of the pallet and reading any details in the description before you bid. In the long run, setting a maximum bid can help you avoid overpaying for a pallet.
Pick a niche if you plan on reselling goods on an online marketplace.
When it comes to buying Amazon liquidation pallets, there are all sorts of liquidation stock to choose from. As such, it’s important to find a liquidation pallet that fits a niche you’re interested in building your online marketplace around. You may decide to resell jewelry or clothing, or you might be interested in selling electronics or other consumer goods. Whatever niche you pick, the best way to build a reputation in that niche is to get as much positive feedback as possible so that other potential customers see that you’ve built up positive word-of-mouth for selling consumer electronics or whatever else you’ve decided on selling.
It’s also worth remembering that some liquidation items may be a better fit for buying as liquidation stock than others. For example, electronics may be likely to be returned if they have a problem or aren’t working properly. Unless you’re capable of repairing these sorts of items yourself, it may be better to focus on a niche such as clothing, where someone may just choose to return the item because of a bad fit or if the color looks different than the pictures.
Make sure to account for shipping costs.
Pallets are quite large and can be expensive to ship. As such, it’s vital that you spend some time estimating how much it will cost to ship the liquidation goods to your home. If you don’t factor in how much shipping may impact your purchase of liquidation stock, you may wind up overpaying for your merchandise. This is why when you pick a niche and come up with a maximum bid, weight is just as important to consider in your budget as what you may be able to resell the liquidation items for.