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Processed Loads
What Comes Out and What Stays In?

The vast majority of retailers have their liquidation loads processed by a jobber.

Retailers sort and consolidate their shelf pulls and customer returns and send them to holding warehouses or directly to processors/jobbers. The vast majority of the loads sent to holding warehouses go on to processors/jobbers. The majority of loads on the market are processed as a result.
Light Processing
Some jobbers separate the hard goods like tools, housewares, toys, hardware, from the soft goods like clothing and footwear.
Heavy Processing
Some jobbers extract much of the good retail items out of the loads for sale on retail websites like eBay and Walmart.com. This has become more and more common. Leftover loads that are the result of heavy processing are not pretty.
 
Unprocessed loads
There are not many true unprocessed loads anymore. Most retailers are hurting from a competitive marketplace that is cut down on their sales and profit margins. They have been forced to tighten their belts and cut down on the losses absorbed by unsold inventory and returns. They have discovered they can get much better returns by retailing the better items online in wholesaling the remaining items in liquidation loads for a much lower rate. The key is to avoid heavily processed loads.
 
Processed Loads and Categories
Many processors sort the loads into select categories that commonly include electronics, housewares, tools, hardware, HBA, new product, and others. Many of the better items are removed from the loads for sale on 3rd party websites. This practice has increased greatly over the past few years with the growth and popularity of retail and semi-wholesale websites. Processed loads make up the vast majority of loads on the market.
 
A Note on Liquidation Loads bought on Online Auction Sites
Some GM loads are sold by competitive bidding on semi-wholesale auction sites. Many of these Processed loads are usually low retail and can sell for $5,000 to $7,000 but the retail values are too low for the cost and you can easily have %50 or more cost per retail dollar in them when figuring in damages,MSRP overstatements, and unsellable merchandise. Some of these online auctions have thousands if not tens of thousands of bidders that only need a sales tax ID number to register. This leads to lots of uninformed bidders that don’t understand liquidation products and run the bids up on loads well past the point of profitability. Do you really want to compete with tens of thousands of people for your store inventory?
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