Fall September Special

The Bargain King - review needed


mdelmundo
Full Member
  • Posts: 3
  • Joined: 03 Jul 17
  • Karma:
14 Jul 17 08:07:50 pm
I am looking into source a womens clothing through The Bargain King. Lewis, the manager suggested I purchase their Women Better Apparel Medium Lot (all from Macys) which have been between $4000 to $5000 in original retail for $435 plus shipping of around $60 . Before I purchase it, anyone have input on this supplier/wholesaler? Thanks in advance.


fudjj
Site Admin
  • Posts: 6305
  • Joined: 27 Jul 07
  • Karma:
15 Jul 17 09:34:40 pm
Hi Maria and welcome to the forum,

This supplier is a fully verified supplier of course Link hidden: Login to view, but I am unable to pass on any personal experience as I have no personal dealings I can share.

They are a liquidator, so the best I can suggest is to be completely sure about the type of load you are buying. Many people go into liquidation without fully understanding what they are buying and end up getting not quite what they were expecting as a result. So make sure you fully understand the load you are interested is my best advice.

Cheers


Mark (fudjj)

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mdelmundo
Full Member
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  • Karma:
18 Jul 17 09:53:14 pm
Thank you Mark. I will give it a try.


fudjj
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  • Karma:
18 Jul 17 11:05:47 pm
Welcome Maria,

You'll find that liquidators usually have very mixed reviews among customers and a lot of that comes from the different expectations of the customers. Many don't research the liquidation market at all, let alone the actual load they are buying to completely understand what they are buying and that causes a lot of conflict.

When it comes to liquidation, I think you will find that many who deal in this market space will tell you that while you can most definitely make money, you should look at it as a long term project. That's because in this type of market you have to take the good with the bad and it's not uncommon to get the bad early on.

So I would never suggest liquidation as a quick cash maker personally, just my opinion of course, but I do have some level of experience in this space myself. Over a longer term, when you can then average out all the bumps and troughs that you've hit along the way, then you give yourself a much better chance of coming out in front.

good luck with the load, hope it does well for you :)


Mark (fudjj)

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mdelmundo
Full Member
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  • Joined: 03 Jul 17
  • Karma:
19 Jul 17 04:41:22 am
Hi Mark,

I actually would like to make a quick cash and now realized that liquidation would not work for me at this time. I have eBay store selling clothing, jewelry and handbags until I find a good and profitable niche. I am also looking into drop shipping. Thanks for your input on the liquidation. I appreciate it.


fudjj
Site Admin
  • Posts: 6305
  • Joined: 27 Jul 07
  • Karma:
19 Jul 17 05:52:16 am
Sorry if my advice scared you off the idea altogether Maria, it wasn't meant to. It's just a supply resource that has its risks, but along with those risks also comes some rewards.

Perhaps a small investment in a small load might be a good place for you to wet your feet and see how you like dealing in that marketplace. To be completely honest, I believe it offers more rewards than drop-shipping in most cases, but as I keep coming back to, you can't avoid the risk completely.

I'll stop now lol, I don't think I'm helping much at all :(


Mark (fudjj)

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mickeybill391
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  • Posts: 6
  • Joined: 04 May 17
  • Karma:
3 Aug 17 06:18:22 am
Hello Mark,
The process you use for liquidation lots, something along the lines of:-
1 Research the liquidator online Salehoo or other forum sites.
2 Have a liquidator provide accurate pictures of the lot your interested in. (sample possibly)
3 buy a small test lot. (I presume you can't buy one item to see and feel the product for yourself prior to these sales, or can you?). Upon arrival push the items through your own online store, see how they sell. Maybe try buy a few similar items from other sites and see if the public is interested, prior to committing to buying a lot?
5 All going well, upgrade your order to a larger lot $x000 range.
6 Refine campaign on your online site.
Please fill in any gaps or correct the my thinking on this matter.
Thankyou,
Mick


fudjj
Site Admin
  • Posts: 6305
  • Joined: 27 Jul 07
  • Karma:
3 Aug 17 09:02:21 pm
Hi Mick and welcome to the forum,

Step 1, I would suggest learning all about the liquidation market before even starting to research actual liquidators. It's not a regular wholesale type market, you're dealing with a whole different animal when it comes to surplus. Most people get burnt because they really don't have an understanding of what they are buying in general terms.

So step 1 for me, learn the market you are wanting to deal in from a seller's perspective.

It's a waste of time asking for pics, because even if a supplier did send you a pic it would only be to give you a general idea of what the load would look like, you wouldn't get an actual pic of the load you were buying. The best thing to ask for is a manifest, this outlines what the load contains.

Now what will usually happen with a surplus lot is the supplier will make that lot up out of many different conditions. For example, 10% new shelf pulled stock, 70% customer returns and maybe 20% of damaged stock. That's just an example and not every lot is the same, but what the supplier will usually try to do is to average the load out so most lots have the same or close to the same ratios.

Now it's hard to make sense of a lot like that without understanding the market, for example, Shelf Pulls. This type of stock can include perfectly good new products that were just slow moving stock that was taking up shelf space, so it had to be liquidated. However, it can in some cases also include stock that was damaged on the shelf and was not then able to be sold, so this can end up in the same Shelf Pull stock pile.

So it's really important to work with a supplier who is open in regards to the makeup of a particular lot, but even then, you have to factor in a certain loss per lot. That's tales time to do because you need to run through quite a few lots to then be able to average out your loss rate.

This is one of the reasons that I say liquidation should never be looked at as a short term money maker. Most make money from it long term, but that's because they have spent the time assessing the lots and know within a certain percentage of how things will usually pan out on a per lot basis.

It really comes down to what you are buying, you can get lots like a Master Case lot. These lots are premium new products, no damage whatsoever, but naturally are usually more expensive because of the condition. Prices of lots are usually based on the stock type and condition makeup of the lot.

Doing things like buying a sample (if they allow it) might work if you are buying a lot full of the same item, but you still need to ensure that or just basing your purchasing decision on a single item may well bring you undone very quickly. Same for buying small lots, it's all about knowing what you are actually buying, not the size of the lot itself.

So big or small lot, one item of 2000 items, with liquidation it comes down to condition ratios of the lot you are buying.

One tip, never consider anything is worthless, you can be shocked at what can sell. Knife block without any knives still has value. A broken vacuum cleaner can be stripped and sold as parts and so on. When you deal in this type of market, you need to see value in everything, that's where people succeed in this market, on the little things that other's over look and discard.

Cheers


Mark (fudjj)

Community Manager
SaleHoo.com

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