We are often asked about the goals of our Sale Events. Jewelers want to know how much aged inventory they can expect to sell. Great question, but a lot depends on the type of Sale Event that is conducted.
In a Going Out of Business (GOB) sale, we would expect to dispose of the vast majority (80-90%) of all owned inventory. A jeweler’s main goal is to convert his significant capital investment into cash. The same may be true for many Retirement Sales, depending on whether the store will continue operation under new management. Other types of sales, such as a Store Closing or Store Relocation, will have varying goals, depending on the wishes of ownership.
In an Inventory Liquidation Sale, the goal is usually only to get rid of aged inventory, which might comprise 30-60% of a jeweler’s merchandise. A retailer certainly doesn’t want to discount heavily on his most current, saleable inventory. So when we project how much merchandise will move in an Inventory Liquidation Sale, the percentage depends on how much inventory a jeweler has, how much of it is aged, and how much of it he may want to sell at some level of discount in order to generate cash.
Our goal in every Sale Event is to sell all of the inventory that our client wants to sell. Frankly, we have a moral obligation to do that and we take this very seriously. We don’t own any inventory, so we have no incentive to sell augment merchandise. Our only interest is to help every client maximize his return on investment and run the most successful sale possible.
In most cases we exceed our projections and sell more of a client’s inventory than anticipated. This is not only ethically correct, it is financially most favorable to the retailer. The more we sell of the jeweler’s inventory, the more cash he will receive because the client gets all of the money, less our minimal commission. It’s really that simple.
If we can help you learn more about a Sale Event that might fit your needs, please let us know. Our goal is your goal, and we look forward to serving you.
View this brief video testimonial here.
Sincerely,
Jeff Gordon
