Services for clearing stock

Two services for Chinese factories with slow-moving inventory that needs to move without damaging the main brand.

The two services

1. Catalog listing (slow-stock)

Public list of B-grade, overstock, end-of-line, and customer returns. US buyers browse, request samples, and place orders. See Network > Catalog for full details.

2. B-grade channel placement

For factories with larger volumes of B-grade or overstock inventory, we identify and place inventory with specific US closeout brokers and discount buyers directly.

When to use which

What's the difference between catalog and B-grade channel?

Catalog listing: - Inventory visible to many US buyers at once - Buyers request samples and place orders - You handle each sale individually (with our coordination) - Best when you have a wide mix of inventory

B-grade channel placement: - We identify one or two specific US buyers for your inventory - Single deal, larger volume - Sometimes blended with other factories' inventory in a single container - Best when you have a single category in volume

Use both for different inventory types.

What these services don't include

• Main brand management. We don't sell main-line branded goods into the discount channel. That destroys your brand.
• Returns processing. Once the buyer has the goods, it's theirs.
• Inventory warehousing. You ship from China or from a buyer- nominated warehouse.

Service detail

• Catalog listing - public slow-stock list
• B-grade channel placement - case-by-case, see below

B-grade channel placement (detail)

When this makes sense:

You have 1,000+ units of a single category of B-grade or overstock inventory. Examples: - 5,000 units of B-grade kitchen utensils from a recent production run - 10,000 units of discontinued bedding SKUs - 20,000 units of customer returns from a US liquidation

How it works:

1. You email us with the inventory description, photos, and quantity
2. We identify 1-3 potential buyers from our network
3. We coordinate samples (you ship 1-2 units to each potential buyer)
4. Buyer makes an offer for the lot
5. You accept or counter
6. Buyer pays (typically 30-50% upfront, 50-70% before shipment)
7. You ship FOB China
8. Buyer receives and pays balance

What we charge:

• 10% of net sale price (commission)
• No upfront fee (unlike buyer introductions)
• Plus travel costs if we visit the buyer in person

What we don't do:

• Buy from you and resell (no inventory risk to us)
• Guarantee a sale (most inventory doesn't move quickly)
• Handle returns once shipped
• Accept branded main-line inventory

Pricing detail

Service-level detail files come after first contact. Rough ranges:

• Catalog listing: free for first 10 SKUs, $50/SKU after, 10% commission on sales we close
• B-grade channel placement: 10% commission only, no upfront fee

Common mistakes when clearing stock

1. Pricing too high

Some factories expect 30-40% of original retail for B-grade inventory. The market pays 5-15%. Pricing expectations that don't match reality mean slower placement or no placement.

2. Refusing to negotiate

US buyers expect to negotiate. Listing at a price means "open to offers." Don't be offended by low offers; counter with your floor.

3. Listing main-line brand

Don't list your main brand. Selling your main brand at deep discount to dollar stores damages your pricing power everywhere.

4. Listing without enough quantity

A buyer wants a deal. 50 units of B-grade isn't a deal - it's a sample. Catalog works when you have enough inventory to fill repeat orders. If you have small quantities, B-grade channel placement (where we bundle with other factories) is the better fit.

5. Slow response to buyer inquiries

Most catalog buyers contact 3-5 factories for similar inventory. The first to respond wins. Have a sample ready to ship and respond to inquiries within 24 hours.

What we don't accept in the catalog

• Perishables or time-sensitive items
• Items with safety concerns
• Branded main-line product (use a separate outlet brand if you must)
• Used equipment or scrap
• Items requiring documentation we can't verify

Next step

If you have inventory to clear: - Email us with your inventory list (Excel or CSV) and photos - We review within 2 business days - For catalog: we send sample request - For B-grade channel: we identify potential buyers and ask for samples