How Liquidation Sales Work
Liquidation sales occur when a store is preparing to go out of business. The assets within a company, including merchandise, are sold at reduced prices. A consumer can find great deals during a liquidation sale. Consider these strategies when shopping for merchandise that a closing store is featuring during a liquidation event.
Prices May Go Down Even Further
Liquidation sales begin with a small percentage discount for merchandise. This price may be considerably less than what the original price was, but may not be reflective of the true cost savings that a consumer could eventually receive. As a liquidation sale is underway, a store owner may adjust discounts.
This could be due to the projected closing date and the need to empty out a store within a specific time frame. If a store owner takes notice that inventory is not selling quickly, they may reduce costs further. Someone who shops for merchandise well into a liquidation sale could ultimately acquire merchandise that is being sold for pennies on the dollar.
Stock Is Limited
Because a store will be closing, merchandise will not be replenished. The amount of merchandise that is featured at a liquidation sale may seem extensive at first. As products dwindle, consumers may be more anxious to purchase specific items that are being featured. This could make shopping rather competitive.
If a consumer is interested in a particular product and they are certain that it will be featured at a liquidation sale, their best bet is to plan on shopping for the item soon after the liquidation sale begins.
If a consumer would like to receive a considerable discount, they can take a chance and wait until a sale has been underway for several weeks. One way to secure an item of interest, however, is by keeping track of how many of the products are in stock and making certain that there are plenty left, prior to deciding to make a purchase.
Rain Checks And Refunds May Not Be Granted
Once a store chain shuts down, a consumer will not be able to get in touch with upper management. There will be no way for a customer to receive a refund directly through the company that a product was purchased from. For this reason, a store owner may advertise that rain checks and refunds will not be granted. When viewing an advertisement for a liquidation sale, a consumer should take note of the rain check and refund policies that will be upheld.