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Amazon Customer Returns: Guide to Buying and Selling Returns

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Amazon Customer Returns: Guide to Buying and Selling Returns

Amazon customer returns are a gold mine for resellers. Resellers have stopped hunting for deals at garage sales and thrift stores. Instead, they're buying goods by the pallet to save time, money, and maximize their profits.

Amazon returns represent new opportunities for resellers

By now, you've probably heard of at least a few reselling success stories. Like, for example, this 28-year-old's company that makes millions buying from Walmart and selling on Amazon. Or, this 32-year-old making six figures selling other people’s stuff on Amazon and eBay. It's hard to see those numbers and not want in on the action.

Now, thanks to Amazon, the reselling business is becoming even more attractive. Amazon makes a ton of money selling goods online, but Amazon customer returns are a big issue for the company. Returning items to sellers involves shipping, handling, labor, and inventory costs that would be very costly. So, this leaves Amazon with little choice but to get rid of the items at a low cost.

One company's problem is another man's profit

The costly process for Amazon customer returns means big business for some. Resellers that once relied on Walmart, thrift stores, and coupon clipping to buy low and sell high now have a new alternative. Now, they can buy Amazon customer return pallets to save time and get even higher margins.

But, for those interested in cashing in on the reselling business, there are a few things you'll need to know. In this post, we'll cover the basics of buying and selling Amazon Customer Returns. We'll talk about where you can find Amazon customer return pallets and make the maximum profit from them.

Where to buy Amazon customer return pallets

Buying Amazon customer return pallets can be tricky. You'll want to seek out return pallets that have at least been sorted through for some level of quality control. Wholesalers usually buy products, sort through them, and resell them with a slight markup to end users. On the other hand, liquidators will act as a bridge between the retailer or manufacturer and the end users and sell the items as quickly as possible. Let's review some other key differences.

  1. Buying Amazon customer returns through online liquidation companies

  • A large portion of liquidation merchandise is unsorted customer returns.
  • There is not as much quality control, as this would add labor costs for the liquidation company.
  • There is little to no unbundling and re-bundling to ensure products are sorted with a level of consistency.
  • They often won't give you much detail about what the pallet contains.
  • Online liquidation companies will give you a "manifesto" of the goods that sometimes do not match up to what is actually on the pallet.
  • Shipping costs can be unpredictable and are sometimes higher than the cost of the pallet itself.

  1. Buying Amazon customer returns through wholesalers

  • The pallet will have a better level of quality control, they will at least discard any clearly broken goods.  
  • They will do some unbundling and re-bundling to ensure products are sorted with a level of consistency.
  • The will give you a bit more detail about what the pallet contains.
  • A trusted wholesaler will be more transparent about any shipping costs.
  • If your wholesaler is local, you can save big time by picking up the pallet yourself.

In short, a wholesaler might have a slightly higher markup to account for their services. But, in the end, it's usually worth it. Some buyers of liquidation pallets report that about a third of their pallet is junk or faulty goods. While a wholesaler might not reduce that number to zero, they will be able to get it down quite a bit.

Also, knowing what's in your pallet is considered a big win. Buying liquidation pallets is usually a gamble, as you'll often get one or two photos of the entire package. A wholesaler will provide more product photos will help you reduce your chances of getting items you're not interested in.  

How to find a local seller of Amazon pallets

Again, you're in luck if you can find a local seller of Amazon customer returns. You'll be able to cut your costs drastically by picking up the pallet yourself. And, even if you can't pick up the pallet, the shipping costs from a local wholesaler can be much lower. You won't be paying for cross-country shipping and labor costs.

At Take It By The Pallet, our New York location is conveniently located so that you can stop by and check out our pallets for yourself. We help our clients find product bundles that make the most sense for their reselling structure. Take It By The Pallet offers fair pricing, fair deals, and expert advice to make sure you get the best bang for your buck.

How to resell customer returns

Funny enough, many of the resellers we work with end up listing their products back on Amazon. Others make large profits on eBay, at estate sales, flea markets, or second-hand shops. Some of our customers even use pallets to stock up inventory in their retail stores. Let's review some tips to make sure you get the best return on your investment.

Selling customer returns on Amazon

Amazon offers two selling plans. The Professional selling plan is available for a $39.99 monthly subscription fee plus per-item selling fees, which vary by category.

According to Amazon, If you plan to sell fewer than 40 items a month, the Individual plan may be best for you. There is no monthly subscription fee. Instead, Individuals pay $0.99 per item sold plus other selling fees, which vary by category.

Additional fees apply when you use Fulfillment by Amazon (FBA) to pick, pack, ship, and provide customer service for your products. Amazon has a guide to FAQs that will be helpful should you choose to sell on their platform.

Selling customer returns on eBay

eBay gets a cut when your auction sells. After your auction or fixed-price listing ends, eBay charges the Final Value fee to your account. Final Value fees on auctions are rather easy to figure out. If your item sells, you pay eBay 9% of the selling price to a maximum of $50.00. If you need a simple guide to selling on eBay, this article can help.

Selling customer returns on Craigslist  

Selling items on Craiglist is attractive because Craiglist does not charge any fees to sell. But, Craiglist won't give you the option to ship items. This will limit your sales to people who are willing to travel to you or vice versa. Also, Craiglist is a hotbed for scams. Buyers often try to pay with bad checks, or via online don't clear. If you're going to sell on Craiglist, a good practice is to only accept cash.

Selling Amazon returns are garage sales and estate sales

Garage and estate sales can be a quick way to resell your items. However, it's important to understand the mindset of garage sale hunters. They're usually accustomed to getting items for extremely low prices. They know that in many cases, garage sales are an attempt for homeowners to clean out their house or offload items before a move.

Bottom line: know your pallet, margins, and resale plan

In short, the more you understand the process, the easier it will become. Soon, you'll have first-hand knowledge about which items have the highest margins. You'll also start to see which items sell fast, and create a strategy around those goods in the future.

Are you ready to start making extra cash? Get in touch with the experts at Take It By The Pallet to make a profit from Amazon returns.


Reselling is an attractive business. Most people start out of their home, selling items that they no longer want. But, to turn a reselling strategy into a business that earns more than just extra change, you'll need to invest in some inventory. Bidding on pallets and buying liquidation pallets is one of the most common ways to do just that Learn more about:TIPS TO BID ON PALLETS & BOOST PROFITS  liquidation pallets
Bobby Fallas

Bobby Fallas

30 plus years of wholesale experience