Amazon Return Pallets-The Ultimate FAQ Guide

Probably you’re wondering what Amazon return pallets are.

This guide explores everything you should know about Amazon return pallets.

Whether you want to know what they are, benefits, or tips for up scaling Amazon return pallets, you will find it right here.

Keep reading.

What Are Amazon Return Pallets?

Amazon return pallets refer to Amazon inventory that has been returned by buyers within three months after purchase.

The returned items can either be fully functioning or faulty and sometimes it is difficult to know what’s contained in the pallet.

Despite these, most sellers choose to dice the coin and hope that they land on the best pallet.

Liquidation companies provide interested buyers with the opportunity to buy Amazon returned pallets at good prices.

What Happens To Amazon Return Pallets?

Once returns are received, they are not put back on the virtual shelves owing to the procedures.

They need to undergo before they are ready for purchase again.

Not only will it cost to inspect the packages but also repacking and relisting them would be quite a hassle.

Once Amazon receives the returned pallets, it sells to liquidation companies.

Liquidation marketplaces in collaboration with Amazon resell the merchandise to interested buyers who are required to bid on the pallets.

This facilitates the accessibility of merchandise by small-medium-sized businesses from online marketplaces.

Alternatively, Amazon also sells the items themselves at the warehouse.

However, pallets sold in the Amazon warehouses are often opened and thus you have no proof if they are used or not.

The good news is that not all returns are damaged and you can easily get quality merchandise at good prices.

This is because some of the returned items are either as a result of the buyer no longer needing the item.

Sometimes, might be expecting the package to be different.

Meaning, the returned merchandise will still be new and in a sealed condition.

This doesn’t mean that you should always expect them in good condition.

We can describe this as a risk since it might be profitable or not.

If the items in the pallets are damaged, the buyer will incur losses and end up disposing them.

However, reselling of the returns is not always the case. Sometimes they might be thrown away or might remain in the warehouse.

According to a study that was conducted by a Canadian News outlet CBC marketplace, only four among 12 returned packages were successfully resold.

Several of the returned products end up laying in warehouses.

Why Does Amazon Liquidate Customer Returns?

Liquidation of customer returns is done since it is cheaper to dispose of merchandise.

Compared to repackaging, listing, placing them back in their virtual shelves, and shipping again which is expensive.

In addition to that, Amazon also liquidates customer returns to create room for new merchandise.

What Are The Pros And Cons Of Amazon Return Pallets?

Just like any other business, dealing with Amazon return pallets has its fair share of benefits and disadvantages.

Being aware of such will help you gauge between the threats and the good side of Amazon return pallets.

To begin with, you need to make thorough research and identify a suitable supplier.

Read through the available online reviews from previous clients as well as testimonials.

Ensure that you are satisfied with the supplier’s ratings and reviews.

One of the critical mistakes buyers make is having complete trust in the “better” suppliers on the quality and worth of products.

If you do so, there’s a chance you will receive exactly what you never wanted.

Consider both sides of the coin and get to understand what actions to take if by chance the contents are substandard.

Sometimes the items contained in the pallets happen to be damaged or defective.

In addition to that, the returned items cannot be sold again as new in as much as the items are in their original state.

Despite the cons, Amazon return pallets are quite advantageous.

Items in the pallets are often sold at lower costs as compared to retail or wholesale prices.

Owing to this, you are set to increase your profit margins and in turn, grow your business.

Not forgetting that the lower prices place you in a better position to effectively compete in the market.

Several buyers are attracted by good prices on quality items.

If you are already setting this standard, your business is set for impressive growth.

In addition to that, you are free to select your merchandise, and thus with proper knowledge and skills in selection.

You can be sure of better returns from your sales.

What Is The Difference Between Amazon Return Pallets And Overstock Pallets?

Amazon return pallets are returned packages from Amazon buyers.

Overstock pallets result from ordering excess merchandise that exceeds the demand.

To make sales off overstock merchandise, they are often sold 25%-50% lower than the wholesale price.

Can I Buy Amazon Return Pallets?

Yes, anyone can purchase Amazon return pallets either through liquidation companies or directly from the Amazon warehouse.

It’s worth noting that Amazon only sells to businesses and therefore if you are starting, purchasing from liquidation companies would be ideal.

What Are Some Things To Know Before Buying Amazon Return Pallets?

Buying Amazon return pallets always sounds like a profitable idea.

Nevertheless, for it to be profitable you need to be clever at decision making.

Some important factors that might otherwise influence your general profits to be considered.

Below are some important tips to know before purchasing Amazon Pallets;

Avoid Beginning Your Purchase With Electronic Products

Not only will you need more capital but also there are higher chances of the products not working.

Electronics unarguably bring huge profits to any business and this entices many to purchase electronic pallets.

You need to have a skillset for your electronic purchase to reap profitable returns.

Shipping Cost

Sometimes the freight cost can end up being costlier than your pallet.

Thus a liquidator that’s closer to your home is beneficial

Manage Expectations

Having higher expectations might sometimes turn into frustrations.

I don’t mean that you shouldn’t have expectations at all.

You should also consider the possibilities of the items being damaged or not packaged well.

With that in mind, you should strategize on how you will send the packages to the buyer and how to manage their expectations.

Start Small

It’s cautious to take one small step at a time as you try to understand your provider’s services and the quality of items.

To achieve this, you want to buy a small pallet and experiment with how efficient the delivery will be as well as the quality of the pallets.

Remember, the more the merchandise the higher the risk.

Avoid Using Amazon Returns And Use Your Spare Cash

Since purchasing pallets is a risk that you are planning to indulge in, it’s safer if you use spare cash.

This is because you might either have higher rewards or significant losses.

Where Can I Find Amazon Return Pallets?

You can find Amazon return pallets through liquidation companies.

This is the best way to purchase your pallet.

Look for a reputable seller by going through past reviews and enquiring from their past clients if possible.

This will help you get a clear picture of the company’s services and pallet quality before making your purchasing decision.

Which Is Better Between Buying Amazon Pallets Online Vs Physical Location?

You can either choose to buy your Amazon pallets online or physically and both ways are good depending on your preferences.

However, most large retailers are online-based and sell pallets via online auction sites.

This explains why many prefer purchasing Amazon pallets online since it’s more convenient too.

How Does Buying Amazon Return Pallets Work?

Just like you would shop for anything, the larger your purchase the less it will cost you. Unfortunately, buyers are never allowed to inspect the merchandise and therefore you have no idea what’s contained inside.

This might be exciting or not depending on different buyers who wish to roll the dice!

However, some boxes come marked making it easier to speculate the type of items contained in the box.

Take into account that the items can be in any condition whether functional, partly functional, or completely damaged.

Therefore, it’s your responsibility to single out the best from the rest.

If you bid on a pallet and win the auction, you can request for your merchandise to be shipped directly to the warehouse.

Nevertheless, this would be economically reasonable if the Amazon liquidation is located near your neighborhood.

How Do I Buy Return Pallets Directly From Amazon?

Buying your return pallets directly from Amazon is considered the best way.

It’s worth noting that the auction season is often conducted after holidays when most people are returning unwanted gifts.

You can place a bid on the return pallets on any online liquidation marketplace.

Once you win, the merchandise can be shipped to your warehouse.

You can purchase Amazon return pallets from the Amazon liquidation companies.

Here are some of the places to purchase Amazon return pallets;

  • Amazon Liquidation Auctions
  • com
  • BULQ
  • com
  • com
  • Wibargain
  • GovDeals

Are Amazon Return Pallets Worth It?

Yes.

Once you buy from a reputable online liquidator you are set to get quality merchandise from leading retailers that can make you huge profits.

Additionally, the pallets sold online are often at reduced prices as compared to the cost of buying from traditional wholesalers.

Meaning, it’s also easier for you to provide a wide range of different budgets for your customers while at the same time making profits.

Not forgetting that this will help you compete effectively with your other competitors placing you on top of the game.

How Much Do Amazon Return Pallets Cost?

The cost of Amazon return pallets ranges from as low as $100 to as much as $800 or more. The cost depends on factors such as size, brands, and weight just to mention some.

Can I Make Money Selling Amazon Return Pallets?

Yes. Once items are returned to Amazon, they are sold to liquidators who end up selling to anyone interested.

The exciting part is that some of these pallets might be of high value and sold very affordably.

Therefore, you gain significant profits by selling the contents in the pallets.

How Can I Make Money Selling Amazon Return Pallets?

Many people are making money by selling returned Amazon packages and here is how. Once the pallets are returned, Amazon sells to Liquidators who in turn sell to interested buyers.

While some pallets might contain defective items, others have quality items and go for cost-effective prices.

If by chance you get one of such, you are set to make huge profits after selling items in your pallet.

Alternatively, you can repair the faulty items and still stand a chance to profit from their sale.

This might be an ideal way to start a business that sells products on Amazon as it doesn’t involve much expenditure if researched and done appropriately.

Is It Ethical To Resell Amazon Return Merchandise?

The answer to this will depend on how the liquidator claims about the state of the product versus the condition it’s sold at.

For instance, if the liquidator claims that the product is new but delivers a used one, this directly reflects a negative picture of the brand.

To make it worse, the product risks being suspended by Amazon.

Doing this is unethical as it goes against Amazon’s guidelines.

Are Amazon Return Pallets Good Quality?

In as much as 45% to 70% of Amazon returns are received in good quality and unused, the remaining percentage can be broken or damaged.

However, you can utilize your skills and knowledge if you are a handy person and fix the damaged parts which you can later sell and make profits.

In addition to that, you can use one faulty item as spare parts for other items of the same kind.

This way you will restore the product’s quality to a profitable one.

Most importantly, select a reputable liquidator and ensure that you conduct thorough research before deciding to purchase a pallet.

What Are Tips For Upscaling Amazon Return Pallets?

Amazon return pallets can either be ready for retails or need some repairs and thus you would want to upscale the items as much as possible.

To achieve this, here are some tips you can consider;

  • Inspecting and grading – Inspect your products and ensure that you sell them as advertised.
    Some of the product categories defining the condition of the product include the following;
  1. New factory-sealed -These are items are new and sealed in their original factory plastic wraps.
  2. Refurbished -Refurbished products go through repairs, inspection, accessorizing, repackaged, and finally put on sale.
  3. New open-box -In as much as this merchandise is new and in good condition, it has been opened.
  4. Used – Used merchandise might not only have visible wear and tear but also scratched.
    Luckily, they are fully functional.

Never forget to exclude the manufacturer’s warranty as it might be invalid.

  • Repair & refurbishing – Some items come in faulty conditions and therefore repairing them will bring back their value.
    If several components from similar models are faulty, the parts of one of the items can be used as spare parts to repair the others.
  • Repackage – If the product’s packaging is damaged it’s important to find one that will fit the item.
    Packaging is an essential factor if so you want to improve the item’s value and make sales.
    That said, try to get a packaging that is original quality or settle for pristine plain packaging.
  • Sort and bundle products that can sell together.
  • Re-accessorize by buying any missing parts.

What Are Mystery Vs Manifest Amazon Return Pallets?

Mystery Amazon return pallets have scarce to no information regarding the contents inside the pallet.

At most, you can only know which category the items fall under and this can range from beauty, electronics, clothes among others.

Manifest pallets provide additional information such as the name of the item, suggested retail value, quantity, and product description.

Mystery pallets are often cheaper as compared to manifest pallets and it’s easy to tell why. With a manifest pallet, you are aware of what you are about to purchase and this raises its value.

Can I Sell Amazon Return Pallets On Amazon?

Yes. You are allowed to sell liquidation products as long as you follow Amazon guidelines.

One of the key guidelines restricts reselling liquidated items as “New”.

In as much as the product is fully functional with no damages all liquidated items are required to be sold as used items and not “New”.

How Do I Price Amazon Return Pallets For Resale?

The best way to price your items would be by assessing the market value and listing your products with competitive pricing.

This can either be the market value or a figure below the market value.

The most important factors to consider when pricing your Amazon return pallets are the shipping cost, selling fees, and taxes.

Apart from selling on Amazon, you can sell the items at a thrift store, through your brick-and-mortar business, or at a flea market.

If you sell on Amazon, it’s better to ship your products to an Amazon warehouse that offers shipping services.

At Tj chinafreight, we help you in all you freight forwarding business from China.

Even if you want to ship from China to Amazon FBA, Tj chinafreight is here to help you – contact us now.