Dynamic Recommerce Solutions
For many organizations, the standard approach to liquidating excess inventory (overstock, refurbished and returned goods) is to turn to the aftermarket. While acceptable in a pinch, time intensive negotiation, risk of brand dilution and sub-par selling prices make this a non-ideal approach.
Secondary Marketplaces offers dynamic recommerce solutions that help manufacturers, distributors and retailers avoid these pitfalls, while providing added benefits that increase recovery and velocity when getting rid of excess goods.
Reselling and remarketing excess inventory are especially time intensive parts of the reverse supply chain. Price negotiations and back-end logistics tasks are a hassle that can be avoided with B2B auctions.
B2B auctions replace price negotiations with buying competitions. Bidding between buyers speed up liquidation while maximizing recovery. Back-end logistics tasks are all automated with Secondary Marketplaces technology.
Minimize Brand Risk
Excess inventory can potentially damage brand value when they are introduced haphazardly into the secondary market. Companies that are not monitoring where these items are sold and who they are sold to run the risk of permanently damaging how their brand is perceived. Sellers using a B2B auction have absolute control over who has access to their goods and where they are sold with features such as buyer permissions and geography restrictions.
Another aspect of brand risk to account for is whether excess inventory is sold on a branded or unbranded B2B auction marketplace. Different types of product will vary in how they should be sold. We consult with our clients to determine which approach will maintain brand value while still maximizing liquidation efficiency.
Increase Recovery Value
Sellers are usually forced to accept suboptimal prices to clear excess inventory faster.
Auctions increase recovery value by disrupting the traditional buyer/seller relationship. They harness buying competition to realize the true market values of the goods being sold.
Instead of sellers negotiating with buyers for slightly better prices, buyers now compete with one another to give sellers the best price.
Additional Selling and Listing Formats:
Increase Buying Activity and Traffic
Selling formats such as flash sale and group buy increase buying activity because they offer buyers a chance to purchase goods at better prices. Flash sales and group buy listings also increase user traffic as buyers return in search of another deal.
Offering a lucrative discount for a short amount of time can help spike up traffic. Limited stock and time motivate buyers to make a quick purchase to capitalize on the flash sale before it is over.
Collective buying empowers customers to work together and reach buying thresholds to unlock better pricing on goods being sold. This listing format also acts as a form of seller protection by ensuring that goods are only sold when economies of scale are achieved.
Dynamic triggered emails, retargeting marketing, user profile-based UI’s and tailored communication strategies help increase conversion rates by customizing the buying process for potential customers. Users are more likely to make a purchase as they are repeatedly exposed to relevant content and buying opportunities.
It is imperative for sellers to understand why their potential customers are converting into buyers. Our conversion optimization tools collect valuable data that can be used to further refine B2B auction marketplace strategy to continue increasing recovery and velocity.
Streamlined Success with Secondary Marketplaces:
Our platform OpenCanvas allows Secondary Marketplaces to excel at creating custom B2B auction sites that are easy to use and simple to implement.
Ease of Use
Have complete control over excess inventory flow. Users can easily choose where (branded or unbranded b2b auction site, eBay, Amazon etc.) and how (pallet or truckload) goods are sold all from one single console.
Flexible and scalable
OpenCanvas is an Amazon Web Services (AWS) cloud-based platform. This offers users the flexibility to combine different auction functionality as required to create a B2B auction site that uniquely appeals to their specific buyers.
Our platform also offers the capability to scale server capacity as required to match program activity levels to ensure optimal ROI.
Personalized Execution with Online Strategy
Though there are features that generally help auctions perform better, there is no one standard approach to B2B auctions. Auction strategy needs to be customized for different industries and buyers.
We leverage our experience with recommerce and reverse logistics to provide support for our clients. We work closely with them to find the best approach to ensure their B2B auction program thrives.