There are many different ways to promote and sell overstock and closeout merchandise at a retail location. You can use them as your main products, making your store a discount store for well known brands, or simply use these items to bring customers in, selling them at a clearance section within your store.
We’ve listed some ideas below, to show how it’s beneficial to offer these products as well as how to make a profit selling these items at a store.
When making a purchase, customers want to get their monies worth, and the best way to accomplish this, is by buying products from a brand that is popular and reliable. Many times, the simple fact of offering these familiar, designer brands will bring customers into your store.
Even though closeout lots from department stores contain a variety of different brands and clothing styles, high end designer brands are included in many lots, which are almost impossible to obtain for wholesale otherwise. Large quantities of authentic designer brands can normally only be obtained, by either acquiring a contract directly with the brands’ manufacturer, or obtaining overstock lots from distributors and department stores that have exclusive contracts with those brands (like we do).
It has been proved that people are more open to spending more on brands they know and trust, compared to less known brands. Nevertheless, having customers spread the word, that they are able to purchase high end products at your store will certainly make your store well known.
No matter what brands or styles a retail store offers, it is common to have some items that sell at a slower pace. This is why different strategies are used to keep products flowing at a store. By using these strategies, your customers will be happy and feel that they got quality items at a bargain, while moving your stock.
Discounts – A great benefit of working with closeouts is that you have no restrictions as far as what price to sell your products for. You decide the pricing of each item, whether you would like to make a large profit, or sell your items quickly at discounted prices.
It’s recommended to offer discounts on different products every week to make customers come back to your store more often, which eventually means more sales. Excite them with sales like “Buy 2 and get the 3rd one 1/2 off” or “Buy 2 and get 1 Free!” This is not only a great way to increase your sales but also a great way to move slow-moving inventory and make room for new things.
Promotional – Free items can work very well as an incentive for customers to either make a larger purchase, or a purchase at all. (For example: get a free item for every $20 you spend! Or, by buying 2 or more items worth $15 each or more, get 1 free T-shirt!). Use this idea to sell items that have more demand at higher prices, and items with a lower demand as a promotional item. Retail buyers love freebies, so use them to your advantage!
Locations – Large retailers don’t rely on only one method to sell their merchandise. Find out if you are able to wholesale large quantities of products to other retailers, or sell them at different locations, such as flea markets, eBay store or locally by craigslist. By expanding your outreach, you can obtain other great sources of revenue.