How to Buy Overstock Pallets from Department Stores


How to Buy Overstock Pallets from Department Stores


In the world of retail, overstock pallets have become an attractive option for bargain hunters, resellers, and businesses looking to acquire quality merchandise at significantly discounted prices. Overstock pallets are essentially bundles of surplus inventory that department stores are eager to offload to create space for new products. This guide will provide you with a step-by-step approach to buying overstock pallets from department stores, along with valuable resources and sources to ensure a successful venture.

Understanding Overstock Pallets
Overstock pallets are pallet-sized bundles of unsold or surplus merchandise that department stores, online retailers, or manufacturers are looking to liquidate. These can include customer returns, shelf pulls (unsold items that have been removed from the shelves), closeout items, and excess inventory. Due to the need to clear space and recover some costs, retailers often sell these pallets at heavily discounted rates, making them a lucrative option for resellers and bargain hunters.

Researching Department Stores
Before diving into the process of buying overstock pallets, it's crucial to identify the department stores that regularly offer these pallets for sale. Major retailers like Walmart, Target, Macy's, Home Depot, and others occasionally liquidate their excess inventory through various channels.

Different Channels to Buy Overstock Pallets
a. Online Marketplaces: Several online marketplaces specialize in connecting buyers with overstock pallets from various retailers. Websites like, B-Stock, and Direct Liquidation offer a wide range of options and categories.

b. Wholesale Auctions: Many department stores collaborate with wholesale auction platforms to sell their overstock pallets. These auctions can be attended in person or online, and they often provide detailed information about the contents of each pallet.

c. Contacting Stores Directly: Sometimes, contacting the store manager or liquidation department of a department store directly can yield information about available pallets. This approach might require negotiation skills but could result in excellent deals.

Educate Yourself About the Pallets
Understanding the terminology associated with overstock pallets is essential. Key terms include:

Shelf Pulls: Items that have been taken off the sales floor due to lack of demand but are still in new or nearly new condition.
Customer Returns: Items that customers have brought back to the store for various reasons, ranging from dissatisfaction to minor defects.
Salvage: Items that might be broken, damaged, or require repairs.
Assessing Pallets
Before making a purchase, it's crucial to assess the pallets' contents. This may involve reading manifest lists (itemized lists of what's in the pallet) provided by the seller. Manifest lists help you understand the types of items, their condition, and their potential resale value.

Estimating Costs and Potential Profits
Calculate the total cost of purchasing the pallet, including shipping, taxes, and any additional fees. Then, estimate the potential profits by researching the resale value of the items within the pallet. Keep in mind that not all items may be sellable, so it's wise to factor in some margin for unsellable or damaged items.

Legal Considerations and Paperwork
Ensure you're aware of any legal requirements related to reselling merchandise in your area. Depending on your location, you might need a business license, sales tax permit, or other documentation.

Building Relationships
Establishing good relationships with department store managers or liquidation companies can provide you with consistent access to overstock pallets. Regular communication and professionalism can go a long way in securing better deals.

Managing Inventory
Upon receiving the pallets, organize, catalog, and store the items properly. This will help streamline the resale process and ensure items are in good condition when they reach the end customer.

Resources and Sources
Direct Liquidation:
How to Buy Overstock Merchandise and Return Pallets:
Guide to Buying Overstock and Salvage Goods to Resell:
The Smart Way to Buy Liquidated Inventory:

Buying overstock pallets from department stores can be a lucrative endeavor when approached with proper research, planning, and knowledge. By understanding the intricacies of overstock pallets, researching department stores and available channels, assessing the contents, estimating costs and profits, and adhering to legal requirements, you can position yourself for success in the world of reselling surplus merchandise. Utilize the provided resources and sources to gather more information and insights to navigate this exciting and potentially profitable venture.