What Your Country Can Do For You: Sourcing Products Via Government Liquidation

e search for cost effective suppliers for your eBiz, youlook at the demand and competition, and find out what
may never have considered the U. S. government askind of retail price you can realistically expect to
a possible product source. But government auctionscharge.
offer online sellers and small business owners a wide• Study all the information the site provides about
range of goods to enhance their regular product lines.the lot. Most will show the condition, original acquisition
Locating REAL Government Liquidatorsprice, and basic technical information, and post photos
While a Google search for “governmentas well.
surplus” will bring back hundreds of thousands• For more detailed information on a specific
of results, you need to be careful from what sites youproduct, you might also check out the product
choose to purchase. Many of these surplus sellers aremanufacturer’s web site.
merely buying goods from real government liquidators,• Find out what the shipping costs will be. Most
or from military surplus stores or outlets, and presentingsites won’t arrange shipping for you, but
themselves as “wholesalers” ofthey’ll often provide you with several options for
government merchandise.transporters they’ve worked with in the past.
Look for sites with established reputations. Some sites,You need to contact each one to see who can give
like are run directly by federal agencies. “Otheryou the best deal, and with whom you feel most
sites have contracts with different governmentcomfortable. (When you contact them, you need to
departments, granting them exclusive rights to resellgive them the weight and cubic dimensions of the lot,
the goods that department no longer needs,”so make sure to note those from the web site.)
explains Tom Burton, COO of “For instance, weAny reputable site will allow you to inspect the
are the sole liquidation outlet for the Department ofproperty when it’s posted, and during the time
Defense.”it’s up for auction. Particularly for big-ticket items,
…Everything but the Kitchen Sinkyou might consider having a screener preview the lot
The goods you can find on a government auction siteon your behalf. Often the auction company can
are as diverse as the functions of government: textiles,recommend local companies that offer this service.
clothing, electronics, and the list goes on. Whether youThe Price of Progress
have your own web site or sell on a platform likeLots are generally sold for a small fraction of their
eBay, you can most likely find products thatoriginal acquisition price – anywhere from six to
complement your usual wares and appeal to yourten percent, on average. That means you’re
target audience. For example, if you sell camping gear,getting, in some cases, a ninety percent discount when
you can find a wealth of merchandise that you canyou’re buying – and as every retailer and
use to create special promotions and bonuses, ore-tailer knows, that’s when you make your
package with your regular products to create unique,money. Government auctions can’t provide a
value-added bundles.steady, consistent stream of like products to resell. But,
Most auction sites will post items several days beforeas Burton points out, “They make an excellent
the bidding begins, and allow several additional days ofsource for loss leaders, cross-sellers, up-sellers, and
bidding. You need to use this time to do yourpromotional items that any online seller can use in their
homework:eBiz.
• Research the market for any items of interest,