Amazon Return Pallets: FBA Guide For Buying & Selling in 2024

Introduction

With barriers to entry dramatically reduced in recent years, selling on Amazon is still incredibly competitive. However, it is still possible for hard-working independent sellers to find success on the platform.

All Amazon sellers — from the biggest to the smallest — have a huge opportunity to generate profits thanks to the millions of shoppers Amazon sees each and every day. A great method to generate this profit is by purchasing Amazon return pallets.

The all-encompassing guide featured below will walk you through the process of buying Amazon return pallets step-by-step so you can be prepared to generate income while reducing costs next year and every year after.

What Does Amazon Do With Its Returns?

For returned items in a new condition, Amazon will clean and post them for resale to bargain customers in the form of an Amazon Warehouse Deal. Conversely, if an item is returned damaged, Amazon utilizes the Amazon Liquidation program to sell pallets of these damaged items to wholesale liquidators.

While Amazon most often gives priority to a quick and easy returns experience for their shoppers, it necessarily creates a rapid flow of returned items to Amazon which are then placed in warehouses.

Teams will then carefully examine each returned item and either deem it suitable for an Amazon Warehouse Deal or, if a certain item is damaged beyond hope of repair, missing crucial parts, or in bad condition, they’ll place them on Amazon return pallets that can then be collected and sold by liquidators (such as you).

Can You Buy Amazon Returns?

Yes, you can buy Amazon return pallets. Many customers who shop on Amazon are unable to purchase large batches of Amazon returns. However, third-party liquidators can do this thanks to the Amazon Liquidation program, allowing these resellers to buy Amazon return pallets full of items.

What Are Amazon Return Pallets?

Amazon return pallets are big wooden crates used for shipping that are filled with various returned items from Amazon customers. Just one of these pallets can hold products from dozens of different categories from the incredible range of listings on Amazon.

What Kind of Items Are Included in Amazon Return Pallets?

The kind of items that are in Amazon return pallets include a wide variety of different products. They are always filled with a random assortment of returned Amazon products, so the contents will differ for every single pallet. Common items pallet purchasers may see include toys, books, cosmetics, kitchen appliances, pet supplies, and much more.

What Can You Expect From an Amazon Pallet Sale?

Wholesale liquidator companies such as BULQ sell the Amazon return pallets they purchase to small buyers who speculatively bid on pallets without knowing what each one contains. However, the included pallet manifest will offer some details about the categories of items inside the pallet and total unit counts.

How Much Do Amazon Return Pallets Typically Cost?

Amazon return pallets typically cost between $100-$10,000 depending on what items are included. Household items will cost less and electronics will usually cost more. The cost of each pallet can also vary depending on factors such as weight, size, product categories, manifest details, and auction competitiveness.

Are Amazon Return Pallets Worth It? (Pros & Cons)

Pros of Selling Amazon Return Pallets

• Acquire large amounts of inventory at steep discounts ranging from 40-70%
• A shortcut for both product research and discovery
• Buying items that are already optimized for Amazon reselling
• Reselling the pallet for a sizeable profit
• Purchasing bulk quantity items all at once
• Discovering new tech in the Amazon return pallets

Cons of Selling Amazon Return Pallets

• The possibility of purchasing damaged goods
• Lack of control over the specific items included in the pallets
• Additional time and effort to process and resell products
• Heavy pallets mean higher shipping costs
• Fees that drain the potential profits from resales
• Finding or acquiring storage space for the pallets

Where to Buy Amazon Return Pallets

Instead of purchasing Amazon return pallets straight from the source, resellers have the opportunity to buy them from large liquidation businesses that specifically specialize in overstocked and returned items. 5 of the top sites for resellers to check out include:

BULQ

Offering one of the largest selections of Amazon return pallets currently available, this site allows resellers to purchase pallets from $100-$10,000 dollars depending on the contents. While they’re easy to use, responsive, and frequently get new pallets, the combination of pricy shipping costs and occasionally incorrect manifest details may turn buyers away.

Direct Liquidation

Providing easy and transparent access to overstocked and returned items from providers such as Amazon allows this site to be a top contender for resellers to choose from. These buyers should keep in mind, though, that there may be restrictions when purchasing small volumes in addition to high shipping fees and incorrectly labeled pallet contents.

Liquidation

With a focus on wholesaling and industrial liquidations, this site can still be a good place to find Amazon return pallets. However, buyers will have to face a somewhat complicated auction process to get great deals on the inventory finds they’re looking for.

B-Stock Solutions

Directly owned and operated by Amazon, this site offers great deals on Amazon return pallets for vetted business customers and resellers. This exclusivity means early access to inventory deals before the pallets are snatched up by other giant liquidators. Keep in mind, though, that early access means pricier pallets and reselling policies that buyers may find too restrictive.

Liquidity Services

With onsite Amazon return pallet inspections and large bidding events held at their Ohio warehouse throughout each month, this supplier may be good for first-time pallet resellers. They’ll be able to look at each pallet in person instead of online and see for themselves whether it’s worth buying. However, it may be too costly to travel to Ohio for some resellers to take advantage of these events.

How to Buy the Right Kinds of Amazon Return Pallets

With careful preparation, intuition, and no small amount of luck, resellers will be able to succeed in purchasing one or more Amazon returns pallets and start making a steady profit. Check out these tips below to discover great ways to purchase these pallets.

Join B2B Liquidation Marketplaces

Buyers can take advantage of B2B liquidation markets by comparing purchase histories and feedback ratings, followed by a period of vetting every marketplace’s unique policies, and then they can easily bookmark a list of their favorite platforms to be fully prepared when auctions begin.

Compare Products on Different Marketplaces

Compare products in different marketplaces by cross-referencing Amazon return pallet contents, size specifications, category themes, price per item, and other shipping particulars. Then, closely follow niche liquidators for the latest info on hot products while always researching better deals.

Find a Reputable Seller

It’s important to carefully vet each seller before purchasing an Amazon returns pallet. You can do this by verifying the time they’ve been in the industry and other professional company info pages. You can also choose to search the Better Business Bureau to discover even more crucial data regarding your chosen seller.

Consider Your Shipping Costs

When considering your shipping costs, it pays to look beyond pallet prices and instead think about freight fees. One of the best ways to go about this is to carefully study sectional shipping cost tables for each marketplace to find a rough estimate of the freight fee for your location.

Buy Amazon Return Pallets on B-Stock

When purchasing Amazon returns pallets from B-Stock, you can obtain advantages you wouldn’t otherwise have such as early access to pallets, reduced logistics costs, and — most importantly — the opportunity to foster a relationship with B-Stock managers.

Choose Manifested Over Mystery Pallets

With manifested pallets, you’re able to discover a specific list of included items, procurement values, and condition assessments for each pallet. You can also easily verify precise quantities, brands, product categories, model numbers, and much more that will help you decide if that Amazon returns pallet is right for you.

Pro Tips on Selling Amazon Return Pallets

Thoroughly Inspect Returns

By efficiently unpacking and sorting your Amazon return pallets, you can avoid an overflowing backroom full of disorganized pallets. Additionally, you should carefully catalog every item you receive. This may include item pictures, manufacturer details, model numbers, and more.

Repackage and Repair Damaged Items

Easily increase the resale value of the items received on the Amazon returns pallet by refurbishing, sanitizing, and repackaging items to a level that looks brand new or slightly used. Resellers should also purchase chargers, cables, accessories, and more for electronic devices to further increase the profits from reselling.

Aggressively Price

Make it a priority to reduce your prices to be the lowest available instead of trying to get the best possible return on your Amazon returns pallet investment. When reselling, it’s usually more important to move volume in and out of your warehouse than to seek greater profits.

Make Use of FBA and Online Arbitrage

Ensure that you fully maximize your sales while reducing any areas of friction by offering your items on numerous sites such as Amazon, eBay, Etsy, Facebook Marketplace, and more. During this time, you should also be analyzing your ROI by carefully fine-tuning your prices, listings, and other sales strategies.

Conclusion

Effectively selling Amazon return pallets can be a great opportunity to earn a huge profit, especially for newcomers to e-commerce. However, logistical concerns and making an effort to mitigate any risks can be challenging for many. That is why it is crucial to make excellent use of the tips in this guide so that you will have the best possible chance to create a profitable reselling empire.

FAQs

Frequently Asked Questions

Does Amazon Have a Liquidation Site?

Yes, the Amazon Bulk Liquidation Store offers many products from third-party sellers in the form of lots. These lots are overstocked items — which are unopened and new — or products that have been returned by customers to Amazon — that are damaged or missing parts.

What Is the Return Policy for Amazon Warehouse Deals?

Amazon’s 30-day return policy states that customers can effectively return any Warehouse Deal and receive a full refund for any reason. This policy is the same for the Amazon Warehouse as it is for items purchased directly from the main site.

What Are Amazon Return Stores Called?

Amazon liquidation stores — also called Amazon Bin Stores — are locations where businesses can purchase items that are overstocked or returned from Amazon on pallets. Once these large businesses buy the bulk products, they are then resold to individuals.

Do I Need a Business With a Tax ID to Buy Amazon Return Pallets?

It depends. Most liquidation sites will usually not require a business tax ID when purchasing Amazon return pallets. However, sites like Amazon Liquidation Options will require this, so it may be a good idea to get one (or avoid using that site in favor of others who don’t require it).