Global eCommerce Company Doubles Pricing on Returned and Overstock Inventory
The European division of a worldwide ecommerce marketplace was selling all of its returned, overstock and other liquidation inventory to a single buyer at an extremely low pre-negotiated price. As pricing dropped to below 10% of retail in key categories it became clear the e-retailer needed a better solution for its excess goods.
The e-retailer turned to B-Stock with the following goals: Eliminate the dependence on a single buyer; Increase recovery rate and demand for the inventory; and Develop strategies to build a diverse buyer network.
B-Stock launched a branded, private B2B liquidation marketplace for the e-retailer, setting up a dynamic in which thousands of approved buyers from across the EU could bid on the inventory via a web-based online auction platform.
Over time, data-driven auction strategies were applied to maximize price and grow the buyer base.
Additionally, B-Stock’s account team performed ongoing analysis of buyer behavior to identify and target the right buyers for each category and auction lot in order to extract the highest value.
Within a month of launching its B2B liquidation marketplace the e-retailer had hundreds of buyers from across the EU competing for its inventory. By reducing the dependence on a single buyer, prices in key categories doubled – earning 39% over target pricing. What’s more, the automated auction platform eliminated hours of offline negotiation.Download Case Study
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