Business idea · E-commerce
Reselling Returned Goods from Retailers
Reselling Returned Goods from Retailers: This startup buys returned items from major retailers like Costco or Best Buy and resells them at a profit online. It was pitched on Koerner Office, hosted by Chris Koerner, in the episode "Asymmetric bets & flipping high ticket items for profit with Shannon Jean. Part 1 of 2. Ep. #038" (aired July 12, 2024).
At a glance
| Podcast | Koerner Office |
|---|---|
| Hosted by | Chris Koerner |
| Episode | Asymmetric bets & flipping high ticket items for profit with Shannon Jean. Part 1 of 2. Ep. #038 |
| Aired | July 12, 2024 |
| Category | E-commerce |
| Real companies on the episode | Mac Rescue |
The problem it solves
Retailers lose significant revenue on returned goods that are still in good condition, leading to unnecessary waste and financial loss. Existing resale platforms often miss these opportunities as they focus on new items, leaving a gap in the market for high-quality returned products at discounted prices.
How it makes money
E-commerce and liquidation sales.
Skills you need
Sourcing and procurement E-commerce and online sales Customer service and returns management Data analysis for pricing strategies Marketing to target specific buyer demographics
The market, and why this works now
Retailers like Costco and Best Buy are increasingly adopting the practice of liquidating returned goods through third-party resellers due to rising costs associated with managing returns. A viable first revenue move involves listing products on Facebook Marketplace, a platform where consumers actively seek discounted items. However, a significant risk is the capital required for initial inventory purchases, as acquiring enough stock to establish a viable online store can strain cash flow before generating consistent sales.
Our analysis, written after the episode. Not a quote from the show.
Real companies discussed on this episode
- Mac Rescue
Founded by Shannon Jean, Mac Rescue is a tech repair company that specialized in fixing Apple products. It leveraged the growing demand for Apple repairs during both the company’s highs and lows in the market, thriving by providing a reliable service at a time when options were limited.
Where this idea came from
Podcast: Koerner Office, hosted by Chris Koerner
Episode: Asymmetric bets & flipping high ticket items for profit with Shannon Jean. Part 1 of 2. Ep. #038
Aired:
Summarized from the episode transcript. The show does not say which speaker raised each idea, so we credit the show, not a person.