It is true that you can find wonderful deals by shopping a Costco. However, did you know the the bargains are even better if you shop at a Costco liquidator? Most people don’t even realize that Costco would use liquidators, let alone use them on a regular basis. These people believe that a business a big as Costco wholesale would be able to use their distribution channels to handle all their closeouts, overstocks, and liquidations.
What is the process a Costco liquidator uses? Each Costco liquidator works on a store by store basis. With the large distribution network Costco wholesale has, it is too much trouble to return overstocked items back to their warehouses. Costco liquidators come in to help with this problem.
With Costco being such a large store, there are times when they have overstocked products due to a lesser demand than was projected or do to the demand in one geographic area being lower than that in another. Having projections for products that are not accurate causes Costco to be left with products that did not sell and must be gotten rid of. With this in mind, each Costco store has made a contract with a liquidator. Sometimes an individual liquidator will have contracts with more than one Costco store, in order to have a supple supply of product. Costco needs to find a way to get rid of any overstocks so that they can use the shelf and floor space, taken up by these, for products that are in projected to sell, In order to keep prices low, Costco has to ensure that products being sold have a high turnover and make a good profit from their large volume of customers.
In order to help Costco get rid of the overstocks, the Costco liquidator buys the products from the store in bulk. They are able to get the products at a very low price and will often purchase more than one type of product during each bulk purchase. Once the items are removed from Costco, they are marked as liquidations. Most times this is a small mark beside the barcode or serial number. It is used to prevent people from trying to return any liquidated item to Costco to get a refund.
After the liquidated stock has been marked, Costco liquidators can make customers aware of the stocks availability. Sometime liquidators will offer drop shipping services for individual purposes, or they may sell the liquidations in bulk. As a retailer, it is you who has to make the decision as to which method will work for you. You decide this based on where and how you are going to be selling your items.
For those retailers selling online or through catalogs, it is a good idea to let Costco liquidator’s drop ship the products to your customers. Doing this eliminates the need for you to store or keep track of stock and allows you to sell a larger variety of products. For those selling out of a land based store, you are better off purchasing your product in bulk from your Costco liquidator. This will allow you to have stock available for your customers to purchase and immediately take home. In order to benefit from the lower prices and greater options, research to find out if your wholesale source has Costco liquidated stock.