Home Depot e-Commerce Returns Liquidation Lots

Anyone who has bought Home Depot store returns and .com returns will appreciate the higher quality of this e-commerce merchandise.  The .com merchandise is really head and shoulders above general store returns.  I've noticed lately that the .com lots they are selling on their official liquidation marketplace are going for similar prices to the stores merchandise.  This is a clear indication of a great opportunity to score some killer deals.

The .com loads are currently truckload only quantities and, as of the date of this post, they are mixed categories.  However, in around 3 weeks time they are telling me that they will be offering category sort truckloads.  This will be a huge improvement for most buyers who can't deal with items across the wide variety of categories.

Get registered now and bid on some of these .com loads.  I think you will be very pleased with what you get.  Great money-making opportunities here.

Ecommerce returns lot


Macy's Closing 100 Stores

As reported today in Commercial Property Executive, Macy's will be closing 100 stores, or roughly 15% of its properties, in 2017.  The company says it will be focussing on better performing stores and strengthening its online presence.  Macy's shares have fallen more than 40% in the past 12 months and profits have all but evaporated.

The impact this will have on inventory liquidation volumes remains unclear.  Inventory may be shifted to other stores rather than liquidated in place, but it would be wise to keep an eye on this.  Once the locations of the closing stores are made public, there may be some local opportunities to purchase product coming out of them.

 


Brand new appliances available for liquidation

There has been a very significant quantity of brand new (slightly older model) appliances selling on BStockSupply.com over the past month or two. The lots seem to be continuing and the inventory looks fabulous.  Dishwashers, refrigerators, washers and dryers have all been available in various quantities. Brands represented include:  Frigidaire, KitchenAid, Whirlpool and many others.  I would highly recommend taking a look.

Appliances


Liquidation of furniture from the Olympic Village in Rio

This is interesting.  You can now visit https://events.bstock.com and bid on the furniture and other fixtures being used at the Rio Olympics in the athletes' apartments!

There are 31 towers that will house around 18,000 athletes, coaches, trainers, etc.  Each of these apartments is furnished with the basic necessities (beds, couches, chairs, tables, wardrobes, etc.).  All of this furniture will be sold and moved out of the village immediately after the Olympics ends.  Well, you can bid on and purchase, in container load quantities, any of this stuff you like!

In addition to apartment furniture, they are selling crowd  control barriers, lockers, and other random assets.

This is a slightly different marketplace for the B-Stock Sourcing Network, since it is not selling inventory for a retailer or manufacturer, but for secondary market buyers, it represents a great opportunity nonetheless.  Check it out and get a piece of the Rio Olympic Games!


Great apparel buying opportunities

The apparel industry has been taking quite a beating over the past few quarters.  Companies like Macy's have reported real weakness in sales in this vertical.  On May 12, a Fortune headline read, "Kohl's Joins the Retail Bloodbath With Dismal Sales", as further weakness in sales hit the company hard.  In fact, at the time, Kohl's shares were down by 50% from their 52 week high. The Gap has suffered similarly.

As Fortune said, "What these companies have in common is that they are very reliant on apparel, a category with an industrywide oversupply that has led retailers to discount, discount, discount to win business."

Of course, this has created a massive opportunity for secondary market buyers.  There has never been so much quality inventory flooding the market and it is driving prices down.

Two new marketplaces have launched in the B-Stock Sourcing Network that can help you take advantage of this golden opportunity.  HSN and QVC have both launched new liquidation marketplaces.  They are selling a wide variety of goods, but apparel is a big part of it.  Lots are large and small, new and returns.  They have something for everyone.  You should definitely check them both out.

HSN Liquidation Marketplace: https://hsn.bstock.com

QVC Liquidation Marketplace: https://qvc.bstock.com


Macy's Continues to Struggle

A weakness in consumer demand for apparel and the shift to online retail are hitting Macy's hard.  The company has just slashed their sales forecasts on the heels of a drop in comp store sales of 5.6% in Q1.  This was the 5th consecutive quarter of declining comp store sales for Macy's.

According to the Wall Street Journal's Suzanne Kapner, "Discount chains like T.J. Maxx and fast-fashion retailers such as H&M Hennes & Mauritz AB that can offer jeans as cheap as $17 and polo shirts for $10 are stealing foot traffic and hurting demand for the $50 jeans and $80 polo shirts that Macy’s sells."

The great news is that there is a significant push among consumers for value.  This is where the secondary market shines.  The bad news for Macy's is that their primary business will continue to suffer.

It is very likely that we will be seeing a flood of Macy's excess in the secondary market over this next quarter, so keep an eye on sites like BStockSupply.com to find some deals.


More inventory returns coming as retail sales continue to shift online

According to the US Commerce Department, online retail sales grew to $341.7 billion in 2015. This was 14.6% growth over the prior year. What is particularly interesting is that total retail sales grew only 1.4% over that same period (excluding food sales).

So once again, ecommerce has gained share of total retail sales. In 2015 it represented 7.3% vs. 6.4% the prior year.

If you exclude automobiles and fuel sales, the implication is that e-commerce generated ALL retail sales growth in the year. Pretty shocking implications for brick and mortar retail.

Of course, for the liquidation industry, this is great news. As you probably know, e-commerce sales typically experience higher return rates than brick and mortar sales, in some cases double or more. This means increasing amounts of product available to the secondary market.

Other good news for secondary market buyers is that e-commerce returns are typically considered higher quality than store returns. Perhaps this is because e-commerce returns are often sent back immediately (before using the product) when the buyer realizes they made a buying mistake. These products are also handled less than returns in stores that then have to be centralized back at the returns distribution center.

All-in-all, this is great news for secondary market liquidation buyers of returns and excess inventory. The only bad news here is for anyone who operates a vast network of retail stores. Figuring out how to keep shoppers coming in to see you is becoming more and more important.


New liquidation marketplace in Europe

B-Stock Solutions has launched a new marketplace in Europe, called A2Z Liquidation Auctions.  If you take a close look at the site and its terms and conditions you can see that the seller here is Amazon.  There is a great mix of product available on the site. It includes new product as well as returns in a variety of lot sizes.  The product is located in the UK, but they seem to be shipping all over Europe.

I highly recommend that you get registered to buy right away.  There are some amazing deals available here.


Inventory Buildup Continues in Q3

According to the Commerce Department report released today, businesses accumulated another $90 billion worth of inventory in the third quarter.  This is an upward revision of the $56.8 billion reported last month.  Over the prior two quarters the total increase is over $100 billion.

This just heightens the importance of this holiday season to retailers and manufacturers.  If consumer spending doesn't materialize as planned, the amount of excess inventory that will be available in the secondary market could be truly epic.  Of course, if spending DOES materialize, the amount of customer returns we will see in January and February will also be off the charts.

Either way, secondary market players are poised for a great few months.  Hopefully, you have been heeding our advice to begin accumulating capital to be prepared to make some major buys this season.  After all, money is made in the secondary market when you buy, not when you sell.  If you can be buying at times of swollen supply you will get better deals and make more money (since the prices to end consumers will be little changed).


Inventory buildup at retailers heading into the holdays

In this article in the International Business Times by Avaneesh Pandey, she points out how inventory levels are rising heading into the critical holiday shopping period.  Just in Q3 in fact, she says that inventory levels at American businesses have grown by $56.8 billion.  She goes on to quote a Macquarie Research report suggesting specialty stores and apparel companies are currently experiencing “a build-up in inventories beyond the natural increase ahead of the holidays”.  The same report also named 10 companies where inventory is growing faster than sales, including Lululemon Athletica, Nike Inc., Under Armour Inc. and VF Corp.

This situation will have very positive implications for consumers this holiday, as the markdowns are likely to happen early and be deep.  Beyond that, if consumers don't show up with their wallets open this holiday season, we are going to see a tidal wave of product hitting the secondary market at year end and in early January.

Starting accumulating capital now so you are in position to take advantage of these upcoming buying opportunities.