Buying and selling liquidation pallets can be a very profitable and rewarding business. And there is more than one model to follow when trying to decide how you’ll do it. For one, you can sell these products on already-established platforms, such as Amazon or eBay. But you can also choose to sell them in a brick-and-mortar store, flea markets, garage sales, or a variety of other in-person venues.
The most important thing about this business is to find the product and platform that works for you, and also to follow a few tried-and-true tips such as these.
Don’t be afraid to scale your business slowly
One mistake a lot of first-time business owners make is trying to scale their businesses too quickly. They spend everything they have on inventory and go all-in without experimenting or doing any research. This can hurt a business in several ways. One obvious way is by miscalculating their costs and selling the inventory too cheap. But even if it ends up being profitable, some people realize it’s not the type of business they want to operate.
A better course of action is to start slowly, experimenting with different products and platforms, while hopefully keeping the day job that gives you a consistent income. It’s difficult to fail with this business since you can switch things up that don’t work, but taking things slowly until you’ve developed your own system will keep you from getting burned out and from losing money.
Choose your supplier carefully
You can find liquidation pallets from a lot of suppliers. In fact, perform a Google search and you’ll come up with quite a few options. But not all wholesalers are created equal. In general, a good liquidation pallet distributor should have several characteristics. They should be reliable, easy to contact, informative, and offer fair prices. Their products should also be free from defects and usable. To find a supplier you can trust, check out Direct Liquidation and their grade a inventory. Direct Liquidation has everything from home decor to consumer electronics. Their website makes it easy to research what kind of product you’d like to acquire and sell.
Find your niche
This might take a little trial and error, but there are a lot of benefits to narrowing your niche for online selling. First, it gives you some authority with your buyers. Think of it this way: where’s the first place you would look for a wedding dress? Would you go to a clothing store that sells everything from dog biscuits to Gucci? Well, maybe you would in certain circumstances. But for the most part, customers are more comfortable shopping with companies or sellers who specialize in a particular type of product. It makes them feel like they have more expertise.
Picking a niche, however, is not always as simple as just choosing something you like. Of course, that does help since you’ll probably be more interested in learning more about a product that reflects your interests. But on top of that, you need to sell a product you can consistently source and that sells well. For this, you’ll need to do some market research.
Organize your space
Don’t overlook how important organization is for this type of business. You’ll need the storage space for your inventory. It’s also helpful to have different stations for different activities. For example, you might have packaging, weighing, and photographing stations. And don’t forget to carefully label any items you’ve listed so you can easily find them when they sell.
Experiment with different selling platforms
Keep in mind that there are lots of places you can sell your inventory. The key is finding the one that works best for you and your product. Online sales are probably the most popular choice for people who buy liquidated, overstocked, and refurbished items. However, there are always exceptions. For example, large items such as furniture or play equipment are often easier to sell locally using flea markets or social media pages. The point is don’t be afraid to experiment or list your items on various platforms to see what works best.