This year, Thanksgiving and Christmas should be back to normal. Families will get together, friends will gather again, and as the economy rebounds consumer spending will continue to rise. Even though online sales surged last year, this holiday season is going to be even stronger. As consumers generally begin feeling better about their lives, they should continue spending more. For closeout wholesalers and other companies that buy closeouts and specialize in selling excess inventory, this should be a boom. Here are some things we can expect to happen this holiday season.
1. Online Sale Continue To Grow. Online companies selling regular line items and overstock inventory did well during the pandemic. Consumers were out spending money on deal sites, closeout websites, and on almost any other platform where they could buy things to do at home. Puzzles, toys, home décor, crock pots, fitness products all did great, but as we move into the post pandemic world, online sales will continue to grow as consumers will now shop for anything and everything online. Today’s online shopper is looking for deals and they are searching for stores on Shopify and Facebook where they can find more closeout wholesalers selling excess inventory at a discount. Surplus inventory has sold very well over the past 18 months as consumers have turned to closeout websites for special buys on exercise bands, wall art, furniture, games and much more. The consumer wants to buy closeouts and overstock deals.
2. Brick and Mortar Sales Rebound. Although there is certainly an escalating movement toward consumers buying closeouts and other goods online, brick and mortar retail stores will have more opportunities to do well and customers leave their homes and venture out again. Closeout wholesalers who sell to discount stores will do better because shoppers will be able to visit malls, stores and other retail environments. There are predictions that we are about to embark on an era similar to the Roaring 20’s, where human touch once again will play a huge part in retail sales and brick and mortar stores selling closeouts will grow and expand. Regular line distributors will do well in this environment, as will closeout websites and other similar companies that buy closeouts and sell excess inventory.
3. Changing Rules. Is this the end of retail as we know it? Of course not. In the past year the sector saw a record number of bankruptcies, closures and vacancies. But the pandemic also served as a reminder that all retail businesses must evolve. Whether selling excess inventory, regular imports, toys, closeout housewares, excess stock of sporting goods, furniture, whatever, retail stores have to change. Consumers will always want to go out to retail shops and communities where they can gather, spend and enjoy. The key for brick and mortar stores will be to find a way to attract them and remain relevant.
4. Increased Travel. It will probably be the ability to travel again that blows the top of holiday sales in 2021. There is a huge pent up demand among consumers who want to get out, meet with friends and family, plan reunions, eat, buy and spend money. The National savings rate skyrocketed to 32% during the pandemic. In addition to buying online and shopping on closeout websites, consumers are ready to get out, travel, and spend money in shops, restaurants and other retail environments. This will also be helpful to distributors and closeout wholesalers who sell closeouts and excess inventory to brick and mortar stores.