How To Buy Amazon Pallets for Resale + Other FAQs Answered

Last updated on October 3rd, 2023

Written by faith

One man’s returned item is another man’s treasure. If you’re creative, innovative, and imaginative enough, you can make do even with unwanted products. Unsurprisingly, many Amazon sellers seem to think so and have increasingly wondered how to buy Amazon pallets for resale.

If you’re wise enough to realize the vast opportunities Amazon return pallets can bring, we’ve got you covered! 

In this article, we’ll answer some of the most burning questions interested Amazon pallet resellers may have and tackle what, how, and where to buy these treasured boxes.

What are Amazon Liquidation Pallets?

Before delving into the pinnacle of the entire discourse, it’s best to lay the groundwork and give context to what Amazon pallets are and their purpose. 

In general, at least 30% of online purchases are expected to be returned, a much larger figure than that of physical stores at just 8.9%. 

That means for every ten online orders, at least three are returned.

This statistic may not seem alarming to most online sellers. However, if we look at it from a wider perspective, these return numbers can grow exponentially in no time. Amazon’s somewhat lenient return policies only amplify these digits. 

As you may know, Amazon’s customer-centric approach gave way to the implementation of its standard 30-day free return policy, allowing buyers to return items shipped by Amazon without much fuss within a 30-day window.

Because of such policies, Amazon experiences tons of product returns daily, leading to millions of returned items in their warehouses. 

Of course, instead of simply storing these unwanted products, letting them waste away, and suffering significant financial losses, Amazon sells them to liquidation companies. 

A liquidation company buys various discounted products and goods from major retailers and resells them. Through liquidation, Amazon eliminates excess inventory while regaining resources from their return losses. This process also allows for these returned products to be refurbished.

These returned and soon-to-be liquidated merchandise are safely kept in the star of today’s article: Amazon return pallets. 

They can vary in content and condition and are often categorized by product type and overall condition. The common types of Amazon return pallets are as follows:

• Customer Return Pallets: Contain items from different product categories (electronics, clothing, home economics, etc.) returned by buyers for various reasons.
• Overstock Merchandise Pallets: Hold excess inventory from Amazon warehouses that the platform needs to clear out. They are typically new and unused.
• Liquidation Pallets: Contain a mix of returned, overstock, and refurbished items. They are often sold at a lower cost because they include various products with different conditions.
• Seasonal Pallets: Amazon may offer pallets focused on seasonal items, such as holiday decorations, summer gear, or back-to-school supplies, depending on the time of year.

While buying and reselling returned goods seems profitable, note that the items may often be defective and damaged because of their nature.

Additionally, buying Amazon pallets is a hit-or-miss. Interested buyers won't know what items their purchased pallet contains until they receive their package or unless the company explicitly states its contents. 

Advantages of Buying Amazon Return Pallets

Despite the drawbacks mentioned above, there are still plenty of reasons to buy and resell Amazon pallets. The advantages to this practice are as follows:

• Discounted Prices - You can often purchase Amazon pallets at a significant discount compared to retail prices, giving you the flexibility to offer competitive prices to your customers while still making a profit.
• Bulk Purchases - Buying pallets allows you to acquire many products in one go, often resulting in lower per-unit costs than buying individual items. In turn, you can gain higher profit margins when reselling.
• Diverse Product Range - Due to the variety of Amazon pallets’ product categories, buyers can explore various markets and attract a broad customer base.
• Sustainability - Besides making a significant profit, you recycle unwanted items and reduce waste when buying Amazon return pallets, effectively promoting sustainability.
• Growth Opportunity - Most importantly, you can learn a thing or two about the resale market and the ecommerce industry with the various challenges that Amazon pallets present. 

How Much Does It Cost to Buy a Amazon Pallet?

The price of an Amazon pallet generally ranges from $100 to $1000 US dollars, depending on the pallet’s size and contents. Amazon return pallets are more affordable than the typical retail prices because of the nature of their contents. 

Besides the pallet’s actual price, buyers should also consider additional costs connected to buying these items, such as shipping costs, refurbishment fees, inspection charges, taxes, and other handling expenses. 

Source: Photo by Tiger Lily from Pexels.com

Where Can You Buy Amazon Pallets?

Amazon itself and several other liquidation platforms are selling Amazon return pallets, giving interested buyers plenty of options.

Amazon Liquidation Auctions

Amazon partnered with B-Stock Solutions to launch Amazon Liquidation Auctions. It’s a platform where businesses purchase bulk customer returns and overstock items.

Instead of fixed prices, the marketplace works with an auction format, wherein buyers place bids on return pallets, and the highest bidder wins the item, hence the platform’s name. Amazon Liquidation Auctions features a diverse range of product categories, including toys, clothing, electronics, and many more.

Sellers on the platform typically describe the pallets' condition and contents to help buyers make informed decisions. 

Liquidation Companies

Because of the overwhelming market of return pallets, it isn’t surprising that several liquidation companies have popped up and are putting Amazon return pallets for sale. Below is a short list of reputable liquidation platforms where you can buy Amazon return pallets.

Some platforms may require additional information and documentation before buyers can purchase. For instance, Direct Liquidation customers and US buyers of 888 Lots must present a valid resale certificate upon signing up.

For this reason, researching each platform, understanding their terms and conditions, and thoroughly evaluating the pallets offered are crucial to making informed purchasing decisions.

How to Buy Amazon Pallets: What to Consider

Now that you're familiar with pallet intricacies, it’s time to learn how to buy and resell Amazon pallets profitably and efficiently. We’ve listed a few tips and tricks to help interested Amazon pallet buyers in their resale journey.

Understand the Market.

Before anything else, it’s wise to learn more about the resale market, especially for specific product categories you are interested in reselling. 

Researching this matter involves identifying popular market trends, studying customer preferences, and determining how much demand each category has. These will help you make informed decisions when purchasing Amazon return pallets.

Compare and Contrast Each Platform.

Choosing a reputable source is the next logical step. It’s wise to buy from well-known liquidation companies like the ones we’ve listed above to ensure legitimate and quality purchases.

Additionally, consider and familiarize yourself with each platform's purchasing process, terms and conditions, and fees. Doing so will allow you to choose the best marketplace for your business. 

Check the Reviews.

Offering the tip to 'find a reliable seller' for Amazon return pallets is common, but not many elaborate it into actionable methods. How exactly can an inexperienced buyer find one? A surefire way to do this is to check the pallet seller’s reviews. 

Like regular consumers checking testimonials, read Amazon pallet shop reviews and ratings to verify their track record of following their word.

Reviews provide

• valuable insights into the seller's reputation,
• the condition of the pallets they sell,
• their communication with buyers, and
• overall reliability.

Inspect The Pallet’s Condition and Contents.

Inspecting the actual product is a must when buying Amazon return pallets. This process helps you assess the quality of the items and ensures you're making a wise investment.

Check the pallet’s condition and contents by carefully reading the product description and details provided by the seller, examining the photos and videos they’ve provided, and directly asking and clarifying your concerns with the seller.

Strike Gold with Seller Interactive

The journey from purchasing return pallets to turning a profit can be simultaneously rewarding and challenging. Your success in this venture rests on your knowledge of the resale market and readiness to buy and resell these returned items on Amazon. 

Managing any business can be overwhelming. That's where companies like Seller Interactive step in to make your Amazon reselling journey more streamlined and profitable.

We offer full account management services to help interested resellers like yourself with account setups, account optimization, product launches, and more.

Book a call today, and start your Amazon pallet-selling venture today!