Fortune 500 Retailer Triples Recovery Rate on General Merchandise

Challenge

A Fortune 500 retailer had been working with B-Stock to sell its returned and excess inventory via a private B2B liquidation marketplace. As pricing and buyer engagement on these mixed lots leveled out, it was clear a new strategy to increase bidding and recovery was needed.

Solution

To increase buyer engagement and drive up pricing, B-Stock’s team of marketplace experts recommended that the retailer implement specific sorting strategies identified by analyzing data from across the B-Stock Network. After analyzing historical data and buyer behavior, the following categories were initially focused on:

• Electronics: when separated into their own lots, items like headphones, sound bars and portable devices typically generated higher pricing
• Seasonal Items: timed to travel season, individual lots of luggage sell well
• General Merchandise: nonperishable food and cleaning products are popular with dollar store and mom & pop store owners

Results

Once the additional category-specific lots became available, buyer engagement with the site increased, causing recovery rates to jump significantly:

• The Electronics lots achieved a 50% increase in recovery (over mixed lot pricing).
• Seasonal Items, such as luggage lots, generated a 66% increase in recovery over mixed lot pricing.
• The retailer experienced an overall 155% jump in recovery for General Merchandise.
• A lot consisting solely of cleaning products achieved a 244% increase in recovery over a mixed lot.

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