Where Do Closeout Websites Get All Their Deals?

shutting down entire operation, clear stock

Online retailers of all sizes have several options when it comes to sourcing their closeouts, liquidation items and overstock inventory deals. Retailers may get their products from: product liquidation companies, manufacturers, affordable wholesalers and various closeout distributors that sell excess inventory.

Online retailers that have closeout websites may source products domestically or internationally from businesses that sell surplus inventory wholesale. Quality and price vary widely, so start with thorough research and product samples. If you are planning on starting an e-commerce business using your own closeout website or a service like Amazon FBA, consider the pros and cons of each of your inventory sourcing options to boost your profit margins and deliver what your customers need in a timely fashion. Product liquidation companies that specialize in closeouts are probably your best bet to get a broad range of closeout inventory to fill your discount store, liquidation warehouse or online liquidation site.

Working directly with manufacturers may help online Amazon sellers get their excess inventory at the lowest possible prices by cutting out the middlemen (wholesalers and distributors). Without any middlemen to deal with, retailers can get affordable, high quality closeout and overstock products that are in demand, further helping them boost profit margins. Today's retail environment is different than it used to be, with more and more companies selling closeouts online and on closeout websites. Liquidation items have made there way from sitting idle as dead stock in warehouses to finding a home online at product liquidation companies that sell on Amazon, Ebay or other ecommerce retail sites.

Many manufacturers prefer working with retailers who are able to place large orders, so online sellers who are just starting off with a low budget might not be able to work directly with manufacturers at first. A better option may be to find closeouts and liquidations by doing a Google search using terms like sell excess inventory, sell liquidation items, closeouts, excess inventory, sell obsolete stock, clear stock from warehouse, and closeout buyers and liquidators. In addition to minimum order requirements, a seller might also need to have an established reputation and sales record before a manufacturer will sign an agreement with them. You can locate closeout brokers and closeout distributors by joining industry associations and trade organizations that are geared towards the products that you want to sell. You can even connect with domestic and overseas manufacturers by building the right network and attending trade show events, but sellers also have the option of contacting a manufacturer directly to discuss their options for finding companies liquidating entire inventories and shutting down warehouses and closing down operations.

Many online retailers sell wholesale closeouts and overstock products, either as is, or with their custom brand applied to the product. Closeout wholesalers work as middlemen between the retailer and the manufacturer of the item, similar to closeout brokers that sell excess inventory to closeout buyers. For online retailers who are unable to purchase directly from a manufacturer or distributor, this is the most likely source of finding liquidation items.

Wholesale suppliers from Asian nations, including China, may provide the lowest prices to new online sellers. You can locate suppliers by browsing platforms like Alibaba, AliExpress, Global Sources, Bambify, IndiaMart, and Made-in-China.com. It is from these sellers you can buy liquidation stock online for your wholesale surplus warehouse. You can search for closeout housewares, pet products and overstock inventory of toys and sporting goods. Liquidations of Amazon inventory will also be available if you want to buy truckloads of excess inventory being disposed of to make room in the warehouse, or if someone is moving warehouses due to high storage fees.

Other directories, such as Wholesale Central and Wholesale Network, are also available to help online retailers get the products they need while sticking to their budget. Plus, sellers can also look through trade magazines and attend trade shows in order to find and meet the ideal wholesalers who can provide them with the right inventory at the right price. Closeouts and wholesale liquidations are everywhere if you know where to look. Companies that sell overstock merchandise and liquidate overstock inventory have flourished during the pandemic. Some manufacturers may not be willing to work directly with online retailers at all, so another option would be to work through a distributor.

Contacting a manufacturer and asking them for a list of their recommended distributors may help you get access to better bulk discounts on closeout pet products and may also ensure a higher-level of quality control. While closeout distributors rarely sell the products directly, they are usually the preferred points of contact for the manufacturers and closeout brokers. When you work with a distributor, you may get the benefit of being treated like a big fish, even if you’re still a small fry. Some closeout distributors have exclusive buying arrangements with manufacturers, so if you want to sell a very specialized overstock product on liquidation, you may have to go through a closeout distributor. Overstock inventory distributors may also have rights to sell the closeout products in a given location, so again, you may have to go through them depending on the item. Most closeout distributors do not sell directly to consumers (or newbie online sellers), so you may need to go through a wholesaler to get the item you want. This may be the best way to find companies in liquidation for sale with overstock inventory.

Expos, closeout buying shows, and other industry events offer numerous opportunities to learn about upcoming trends in your industry. More importantly, they enable you to get essential face time with manufacturers, wholesalers, suppliers and their merchandise, so you can see and touch materials or overstock liquidation products firsthand. Walk the whole show first – Keep this in mind especially when you’re attending large events. It may be tempting to pounce on the first great liquidation products or suppliers you see, but it’s best to wait until you’ve explored the whole function before filling out any purchase orders. Give yourself the opportunity to see what everyone has to offer, then get back to the ones that are a good fit. There may be multiple liquidation opportunities for the same type of goods, and you will when buying liquidated merchandise you will want to compare them.

Building an inventory might involve the use of both domestic and overseas suppliers. But there are some pros and cons that are associated with each of these options, so some sellers choose to stick with one over the other. Sourcing liquidation and closeout products domestically might involve higher costs and fewer product choices, but the items may be manufactured to a higher quality. If your USP is not strictly defined by price, you can even use the fact that you’ve sourced overstock products domestically as a component of your marketing strategy to appeal to consumers who want to purchase closeouts made domestically or to higher labor standards. Purchasing excess inventory, liquidation goods or other wholesale closeouts domestically can help cut down shipping times and costs and may ensure that nothing gets lost in translation when you’re placing orders.

Merchandise USA is a wholesale closeout buyer in business more than 38 years and we specialize in buying excess inventory, product liquidations, closeouts and obsolete inventory. Perhaps you are shutting down operations and selling off the entire inventory. You may also be moving warehouses and liquidating inventory so you don't have to move everything. You may even be shutting down your 3PL warehouse and ceasing operations. Whatever the reason for your inventory liquidation we can help buy your closeouts.