Liquidating distressed inventory
Every year retailers and manufacturers accumulate huge volumes of unsold merchandise. The market for liquidation products is huge - 7 billion in the United States alone.From returns to damaged goods to overstocks, these products clog warehouses and inflate overhead. A closer look shows that B2C sellers (mostly retailers, online, auctions and flea markets) source their product from liquidators.Within liquidators, there are resellers that buy from large liquidators and repair and refurbish or sort for higher value, and then resell the products to B2C sellers. Traditional methods of disposing assets, such as liquidation sales and auctions, remain popular. As a result, recovery values are suppressed and profitable purchase opportunities remain untapped.With the glut of unsold products gathering dust in their warehouses, companies are now turning to third party logistics firms to handle liquidation.
Retailers and manufacturers liquidate more than 95 percent of overstock inventory and customer returns on the secondary market.When evaluating the effectiveness of their returns process, many executives focus on transportation and processing costs.GENCO is one of a select few third-party logistics (3PL) providers that can combine inventory liquidation services with comprehensive distribution and reverse logistics services for a total Product Lifecycle Logistics solution.Reverse logistics programs aim to efficiently remove returned and obsolete inventory from the primary sales channel to maximize recovery values while minimizing related financial risk.
GENCO Marketplace offers retailers and manufacturers flexibility with two service options: Using processes and technology developed for GENCO’s reverse logistics solution, we scan and inspect your products in our warehouses, then categorize them by factors such as type, age and condition.
GENCO then markets product through the liquidation channel that best meets your objectives.