While Alibaba resellers battle it out with Chinese sellers, our customers are having the best year on the record!

We love hearing from our customers especially when it’s
about your success stories and we have heard quite a lot of these in 2017. Liquidation retailers like you are crushing
it this holiday season and are poised to hit it out of the ballpark again in
2018. Now ask your friend that sells generic items they purchase from China and
you may get a very different view of this year. Why? Because of ePackets and
wide spread fraud from competing Chinese sellers.

So what are ePackets? We will cover them briefly but for a
more in-depth look please read our article terminal
dues
. So what do they look like? Well
they are those small boxes or padded envelopes that you occasionally get in the
mail, covered in international postage forms, usually small, light and
inexpensive items. Now as many sellers are aware, these ePacket items have not
only flooded most of the major marketplaces like Amazon and eBay but are also
costing US buyers and sellers money in the form of higher shipping rates. Due
to international shipping agreements with other countries the US postal system
is basically forced to subsidize these shipments. Essentially the US consumer
is getting a seemingly cheap item but at a hidden cost. Besides being unfair to
US sellers, there is a new scam that abuses this deal and it is called
Brushing.

Forbes Magazine recently reported on this Brushing technique
employed by unscrupulous overseas merchants, its used to artificially inflate
their sales ranking and positive feedback of an item for sale. What a Brushing
company would do, is place fake orders and ship empty boxes. The delivery looks legitimate, it can be
verified by the carrier and now the unscrupulous seller gets a bump up in sales
ranking and positive feedback for a successful transaction. Brushing enables
the seller to ship 100s of empty parcels at little cost to gain 100s of
feedbacks thus artificially inflating their seller ranking.

Since the shipping
rate is so low, they effectively are purchasing seller ranking and gaining a
competitive advantage over other sellers in the marketplace. Seems crazy to spend
money to ship an empty package? And what’s the destination of these empty
packages? Well in many cases they are going to unsuspecting consumers, whose
identity has been hijacked. The Brushing company will find an average consumers
name and address, create a phony profile for them and then place these phony
orders and ship them out. The consumer will think nothing of it because well it’s
just some junk in the mail I didn’t order. Costing pennies to ship these empty packages
essentially create a cheap but very effective way of pushing up the sellers sales
ranking and feedback, and that’s where this scheme makes its money. Who’s the
victim here? Well there are multiple victims, US customers who subsidize phony
shipping, the consumer whose identity has been hijacked, the consumer who buys
the actual item based on the fraudulent feedback and last but not least the
legitimate sellers offering comparable items. Who stands to take the greatest
hit? The honest sellers who lose business due to sellers with inflated ranking.

The unbranded or private label sellers need to take a
serious look at the market and their merchandise before investing. You could
very quickly and easily get buried by a competitor with inflated ranking and
feedback. How do you as an honest seller compete? The unbranded or private
label merchandise is risky and should be avoided. Diversify your product mix with
recognizable name brands and
merchandise that cannot be as easily undercut or hijacked by these unscrupulous
merchants. The liquidation merchandise
you purchase from us is high quality, with brands customers recognized and
love. This is something Chinese sellers
cannot compete with leaving you with limited competition and higher profits.

Remember folks, internet retail while being advanced in some
ways is still in the dark ages as far as regulation is concerned. You made the
right decision to specialize in liquidation merchandise now take what you have
learned in 2017 and make 2018 your most profitable year yet. 

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