Liquidation merchandise is often defined as Shelf Pulls/Store Stock, Overstock, and Closeouts. Many liquidation companies use these terms interchangeably. Most of the time these mean the same thing but the name can better reveal condition and source. For your convenience, we summarized these terms below.
Overstock is a generic term for excess inventory supply that exceeded demand or requirement. Overstock generally comes from poor management or other external events. Overstock could come from department stores which overstocked their shelves with merchandise, distributors who overestimated demand or factory overruns.
Self pulls is overstock that originates from department stores which overstocked their shelves with merchandise. Shelf pulls are sometimes referred to as Store Stock. Self pulls was once displayed in a departmental store but was later pulled to make room for other goods. Shelf pulls typically did not sell due to lower demand or poor management. After a specific period of time, merchandise is pulled from the shelves and sold in bulk as shelf pulls.
Typically referred to as “New Overstock”, these are goods that never made it to the store shelves. These goods typically come from manufacturer, distributor or warehouse. More often than not, this is discontinued merchandise, limited edition or factory overrun.
Since merchandise comes directly from the department stores it is usually store ready and in new condition. Shelf Pulls typically come with original factory packaging, just as you would find it in large upscale department store. Some store tags or labels may need to be removed. There could be a small percentage of distressed merchandise in each lot. Distressed merchandise is typically due to fitting room or shelf wear. Although percentage of distressed merchandise varies, it is typically under 5%.
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