Online shopping has officially replaced in-store shopping as the preferred method for consumers to buy what they need. Global e-commerce players like Amazon and Shein are two of the biggest names in online retail and handle millions of orders every week. In fact, Amazon’s daily sales revenue is estimated to be a staggering $1.4 billion.
However, what if there was a way to get your favorite products from Amazon or Shein without paying full prices for them? This is possible with brick-and-mortar bin stores, which sell returned and refurbished items for a discounted price.
While there is no exact online equivalent to bin stores, there are plenty of platforms where customers can make savings on high-quality items by purchasing them after they’ve been returned or pre-owned.
What is a Bin Store?
A bin store is a retail outlet specializing in reselling returned, refurbished, and gently-used items from wholesalers like Amazon and Shein. The name "bin" comes from the fact that most of the products are sold in bins, meaning you have to do some (literal) digging to find what you want or need.
Do Bin Stores Operate Online?
Technically, yes, but you won't find bin stores listing their products for sale online. Some resale sites like eBay may have sellers who use the "bin" model to get inventory, but they're few and far between.
The main problem with selling bin products online is that it takes too much time and resources to process inventory and list each product for sale. Since returns are sold "as-is," resellers can't spend a ton of time inspecting and verifying each product they buy. So, it doesn't make sense to add the complications of online sales (e.g., packaging, shipping, and tracking) to the process.
That said, some bin stores have a website where you can learn more about the types of products they sell, where they're located, and their hours of operation. You may also be able to communicate with the company to find out more information, such as when new inventory comes in.
Best Online Bin Store Equivalents
While bin stores technically don’t sell their products online, we’ve put together our top five equivalent e-commerce platforms where you can buy returned, refurbished, and gently-used products that are in a like-new state.
Amazon.com, also known as Amazon, is an American multinational technology company based in Seattle, Washington. It was founded by Jeff Bezos on July 5, 1994, and initially started as an online marketplace for books. Since then, it has expanded its product offerings to include electronics, apparel, furniture, and various other consumer goods, as well as digital streaming services and cloud computing. The headquarters of Amazon.com is located in Seattle. The company has grown exponentially over the years and now operates worldwide. It has separate websites for different countries, including Amazon.co.uk for customers in the United Kingdom. Amazon.com offers a wide range of products and services to cater to customer needs. These include Amazon Prime, a subscription-based service that offers benefits such as free two-day shipping, access to streaming services like Prime Video and Prime Music, and exclusive deals. Amazon also produces consumer electronics like the Kindle e-reader, Fire tablets, Fire TV, and Echo devices, that utilize the company's voice-controlled virtual assistant, Alexa. On a global scale, Amazon.com has established itself as a prominent player in the e-commerce industry. It has expanded its operations through acquisitions, partnerships, and subsidiaries such as Whole Foods Market, IMDb, Audible, and Zappos, to name a few. With a solid infrastructure and sophisticated logistics management, Amazon has become one of the largest retailers in the world. In terms of market position, Amazon.com is a dominant force with significant global sales. The company's innovative approach to e-commerce, emphasis on customer experience, and aggressive expansion strategies have allowed it to surpass many of its competitors. Amazon often faces competition from other e-commerce giants, such as Alibaba and Walmart, but continues to maintain its leading position. Throughout its history, Amazon.com has achieved numerous milestones. One notable event was the introduction of Amazon Prime, which transformed the way customers shop online and boosted customer loyalty. Another significant development was the acquisition of Whole Foods Market in 2017, which allowed Amazon to enter the grocery industry. As of the latest updates, Amazon.com continues to thrive and expand its services to new markets. The company is known for its continuous innovation, with initiatives such as Amazon Go, a cashier-less grocery store, and investments in artificial intelligence. With its strong market presence and focus on customer-centric approaches, Amazon is expected to maintain its position as one of the leading global retailers.
Read our review
With a vast selection of products, including electronics, cars, clothes, collectibles, and more, eBay offers something for everyone. You can find top brands at low prices, making it an ideal platform for bargain hunters. Explore categories such as electronics, where you'll find computers, tablets, cameras, and cell phones. If you're into fashion, eBay offers a variety of clothing, shoes, and accessories for men, women, and children. Collectibles enthusiasts will be delighted with the extensive selection of sports trading cards, coins, art, and antiques. Home and garden items, including furniture, power tools, and outdoor living essentials, can also be found on eBay. In addition to buying, eBay provides a platform for sellers to reach a global audience. Whether you're looking to sell items from your garage or start a business, eBay offers tools and support to help you succeed. Experience the convenience and excitement of online shopping with eBay, where you can find great deals, top brands, and free shipping on many items.
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Gazelle is the leading reCommerce company in the electronics industry, specializing in buying and selling pre-owned consumer electronics. With a focus on simplicity and convenience, Gazelle offers a variety of options for customers looking to sell their used smartphones, tablets, and more. The Gazelle story began with a simple realization: if you can trade in a used car, why not trade in a used phone? This idea sparked the birth of a new business and a groundbreaking approach to reusing consumer electronics. In 2007, Gazelle opened its doors and became a pioneer in the concept of reCommerce. Since then, Gazelle has continually evolved and expanded its offerings. In 2008, Gazelle.com was launched, providing customers with an easy-to-use online trade-in service featuring instant quotes and free shipping. In 2014, a store was added to the platform, offering certified pre-owned devices as a reliable and affordable alternative to buying new smart devices. Today, Gazelle has grown into a flourishing e-commerce business and is recognized as the nation's leading consumer electronics trade-in site. With a strong focus on customer satisfaction, Gazelle works hand-in-hand with its customers, ensuring a seamless and rewarding experience.
Read our review
Swappa is a user-to-user marketplace that specializes in buying and selling used tech products. With a focus on safety, simplicity, and staff-approved listings, Swappa has established itself as the go-to online marketplace for tech enthusiasts. Operating as a community-driven platform, Swappa connects buyers and sellers directly, eliminating the need for intermediaries. This allows users to access the best prices and highest value for their tech devices. Plus, Swappa offers PayPal protection, ensuring secure transactions between parties. One of the standout features of Swappa is its commitment to quality. To maintain a safe marketplace, Swappa enforces strict listing requirements and an approval process for every product. This ensures that buyers can shop with confidence, knowing that they won't encounter broken or subpar items. Not only does Swappa provide a secure and reliable platform, but it also offers fair fees for both buyers and sellers. Listing on Swappa is free, and a 3% fee is only charged once the item sells. This means that users can save money while enjoying a seamless buying and selling experience. Swappa's success story began in 2010 when founder Ben Edwards, a software and mobile developer, recognized the need for a better marketplace for quality mobile devices. The company has since grown exponentially, with millions of dollars in seller proceeds each year. At Swappa, the team is dedicated to creating a platform that simplifies the process of selling devices directly to other consumers. Transparency, convenience, and a global presence define Swappa's commitment to fostering a thriving tech community. With Swappa, buying and selling used tech has never been easier or more reliable. Join the Swappa community today and experience the future of online tech marketplaces.
Read our review
Back Market is a leading global marketplace for refurbished devices, committed to making technology reliable, affordable, and better than new. With a wide range of products and services, they offer premium refurbished tech at up to 70% less than brand new devices. Back Market works hand-in-hand with professional refurbishers to ensure that every device undergoes a rigorous vetting process and is restored to perfect working condition according to industry standards. Their commitment to sustainability is evident, as a refurbished smartphone from Back Market uses significantly fewer raw materials, water, and generates less e-waste and carbon emissions compared to brand new devices. Not only does Back Market offer high-quality refurbished tech, but they also provide exceptional customer service. Their in-house team is available six days a week to assist you, ensuring a personalized experience every time. Join the fight against e-waste and discover the reliability and affordability of refurbished devices with Back Market.
Read our reviewAmazon Renewed
Amazon.com, also known as Amazon, is an American multinational technology company based in Seattle, Washington. It was founded by Jeff Bezos on July 5, 1994, and initially started as an online marketplace for books. Since then, it has expanded its product offerings to include electronics, apparel, furniture, and various other consumer goods, as well as digital streaming services and cloud computing. The headquarters of Amazon.com is located in Seattle. The company has grown exponentially over the years and now operates worldwide. It has separate websites for different countries, including Amazon.co.uk for customers in the United Kingdom. Amazon.com offers a wide range of products and services to cater to customer needs. These include Amazon Prime, a subscription-based service that offers benefits such as free two-day shipping, access to streaming services like Prime Video and Prime Music, and exclusive deals. Amazon also produces consumer electronics like the Kindle e-reader, Fire tablets, Fire TV, and Echo devices, that utilize the company's voice-controlled virtual assistant, Alexa. On a global scale, Amazon.com has established itself as a prominent player in the e-commerce industry. It has expanded its operations through acquisitions, partnerships, and subsidiaries such as Whole Foods Market, IMDb, Audible, and Zappos, to name a few. With a solid infrastructure and sophisticated logistics management, Amazon has become one of the largest retailers in the world. In terms of market position, Amazon.com is a dominant force with significant global sales. The company's innovative approach to e-commerce, emphasis on customer experience, and aggressive expansion strategies have allowed it to surpass many of its competitors. Amazon often faces competition from other e-commerce giants, such as Alibaba and Walmart, but continues to maintain its leading position. Throughout its history, Amazon.com has achieved numerous milestones. One notable event was the introduction of Amazon Prime, which transformed the way customers shop online and boosted customer loyalty. Another significant development was the acquisition of Whole Foods Market in 2017, which allowed Amazon to enter the grocery industry. As of the latest updates, Amazon.com continues to thrive and expand its services to new markets. The company is known for its continuous innovation, with initiatives such as Amazon Go, a cashier-less grocery store, and investments in artificial intelligence. With its strong market presence and focus on customer-centric approaches, Amazon is expected to maintain its position as one of the leading global retailers.
Amazon Renewed is an excellent option for customers seeking like-new products that they’d usually find on the regular Amazon site, including refurbished Amazon devices. The platform offers a 90-day satisfaction guarantee and every product is professionally inspected and tested for quality.
eBay
With a vast selection of products, including electronics, cars, clothes, collectibles, and more, eBay offers something for everyone. You can find top brands at low prices, making it an ideal platform for bargain hunters. Explore categories such as electronics, where you'll find computers, tablets, cameras, and cell phones. If you're into fashion, eBay offers a variety of clothing, shoes, and accessories for men, women, and children. Collectibles enthusiasts will be delighted with the extensive selection of sports trading cards, coins, art, and antiques. Home and garden items, including furniture, power tools, and outdoor living essentials, can also be found on eBay. In addition to buying, eBay provides a platform for sellers to reach a global audience. Whether you're looking to sell items from your garage or start a business, eBay offers tools and support to help you succeed. Experience the convenience and excitement of online shopping with eBay, where you can find great deals, top brands, and free shipping on many items.
eBay is a well-known online marketplace that facilitates buying and selling pre-owned and refurbished items, from technology, to homeware, to clothing and apparel. Anyone can open an account and sell on the platform, so it’s important to pay attention to seller ratings and product descriptions to make sure your transaction is secure and you get what you paid for.
Gazelle
Gazelle is the leading reCommerce company in the electronics industry, specializing in buying and selling pre-owned consumer electronics. With a focus on simplicity and convenience, Gazelle offers a variety of options for customers looking to sell their used smartphones, tablets, and more. The Gazelle story began with a simple realization: if you can trade in a used car, why not trade in a used phone? This idea sparked the birth of a new business and a groundbreaking approach to reusing consumer electronics. In 2007, Gazelle opened its doors and became a pioneer in the concept of reCommerce. Since then, Gazelle has continually evolved and expanded its offerings. In 2008, Gazelle.com was launched, providing customers with an easy-to-use online trade-in service featuring instant quotes and free shipping. In 2014, a store was added to the platform, offering certified pre-owned devices as a reliable and affordable alternative to buying new smart devices. Today, Gazelle has grown into a flourishing e-commerce business and is recognized as the nation's leading consumer electronics trade-in site. With a strong focus on customer satisfaction, Gazelle works hand-in-hand with its customers, ensuring a seamless and rewarding experience.
Gazelle is a “reCommerce” platform that enables users to buy and sell pre-owned electronics. The company provides competitive prices and a straightforward buying process and ensures device quality through inspection and certification. Moreover, purchases include a 30-day money-back policy in case the gadget is not up to standard.
Swappa
Swappa is a user-to-user marketplace that specializes in buying and selling used tech products. With a focus on safety, simplicity, and staff-approved listings, Swappa has established itself as the go-to online marketplace for tech enthusiasts. Operating as a community-driven platform, Swappa connects buyers and sellers directly, eliminating the need for intermediaries. This allows users to access the best prices and highest value for their tech devices. Plus, Swappa offers PayPal protection, ensuring secure transactions between parties. One of the standout features of Swappa is its commitment to quality. To maintain a safe marketplace, Swappa enforces strict listing requirements and an approval process for every product. This ensures that buyers can shop with confidence, knowing that they won't encounter broken or subpar items. Not only does Swappa provide a secure and reliable platform, but it also offers fair fees for both buyers and sellers. Listing on Swappa is free, and a 3% fee is only charged once the item sells. This means that users can save money while enjoying a seamless buying and selling experience. Swappa's success story began in 2010 when founder Ben Edwards, a software and mobile developer, recognized the need for a better marketplace for quality mobile devices. The company has since grown exponentially, with millions of dollars in seller proceeds each year. At Swappa, the team is dedicated to creating a platform that simplifies the process of selling devices directly to other consumers. Transparency, convenience, and a global presence define Swappa's commitment to fostering a thriving tech community. With Swappa, buying and selling used tech has never been easier or more reliable. Join the Swappa community today and experience the future of online tech marketplaces.
Also specializing in pre-owned tech gadgets, Swappa is known for its user-friendly interface and quality assurance policy, as sellers must meet strict listing criteria. The site now even lists shoes and sneakers along with smartphones, laptops, tablets, video games, and other tech accessories.
Back Market
Back Market is a leading global marketplace for refurbished devices, committed to making technology reliable, affordable, and better than new. With a wide range of products and services, they offer premium refurbished tech at up to 70% less than brand new devices. Back Market works hand-in-hand with professional refurbishers to ensure that every device undergoes a rigorous vetting process and is restored to perfect working condition according to industry standards. Their commitment to sustainability is evident, as a refurbished smartphone from Back Market uses significantly fewer raw materials, water, and generates less e-waste and carbon emissions compared to brand new devices. Not only does Back Market offer high-quality refurbished tech, but they also provide exceptional customer service. Their in-house team is available six days a week to assist you, ensuring a personalized experience every time. Join the fight against e-waste and discover the reliability and affordability of refurbished devices with Back Market.
Back Market is an online platform that sells refurbished electronic products at affordable prices. It offers a wide range of devices, from smartphones and laptops to TVs and gaming consoles. All products are tested and certified by professional refurbishers, and come with a minimum 12-month warranty. Back Market aims to reduce electronic waste and promote a circular economy by giving a second life to used devices.
Pros and Cons of Shopping at Bin Stores
As a customer, visiting a bin store can be an exciting experience. However, there can be massive differences in the quality of each store and how they're run. Sometimes, you may be able to buy high-end products for a fraction of their original price. In other cases, you may waste time and energy trying to find something that isn't there. Here are some of the top pros and cons of shopping at bin stores.
- Save Money - While bin stores don't sell everything, they often contain a lot of clothing, electronics, books, furniture, and other household goods. So, if you're looking to buy anything within these categories, you can usually save a lot compared to what you would pay for the same product online
- Find High-End Products - If you're smart about shopping at bin stores, you can sometimes find high-end products available. Then, you can either use the item yourself or try to resell it for a massive profit. That said, you need to spend more time sifting through the bins and must come on restocking day when new merchandise comes to the store
- Inventory Changes Rapidly - Bin stores can never guarantee what will be in stock because it always changes with each new pallet. Plus, some people take advantage of bin stores and buy items in bulk for cheap to resell in different places. So, you never know what you'll find, and if something is there today, it could be gone tomorrow
- Unsecured Purchases - If you buy a product from a traditional retailer, you can often return it or request a replacement if there's a problem. However, with bin stores, you usually have to pay cash, and all sales are final
- If the bin store owner bought an item "as-is," you must also. So, if you buy something that doesn't work, you're out of luck
A Brief Overview of Amazon's and Shein's Return Policies
Bin stores wouldn't exist without returned items from wholesalers, but why are there so many products returned to these retailers? Well, a big reason is that sites like Amazon and Shein have hassle-free return policies, meaning most customers will choose to return something if it's not 100 percent perfect.
There are actually a few unique factors that contribute to a high volume of returned merchandise, including:
- Third-Party Vendors - When virtually anyone can open an Amazon seller profile and start selling items, there's a lot of inconsistency with quality and reliability. Some vendors may even sell returned or refurbished items and claim that they're new out of the packaging. Since Amazon controls returns, it can't verify all sellers.
- Clothing and Accessories - If you go to a clothing store, you can try on what you like and see how it fits immediately. When you're shopping online, it's impossible to tell how it will look and feel until you receive your package. So, many people will order items in multiple sizes or colors and just return what they can't or won't wear.
- Fast Refunds - Because sites like Amazon and Shein handle so many orders every day, they run cost/benefit scenarios on returns. In most cases, it's worth refunding the customer immediately before verifying the condition of the returned item. This way, customers are likelier to keep shopping online and bring revenue. Then, instead of sorting and verifying each return, they just sell them wholesale to resellers, which is why bin stores are a thing.
Overall, it's estimated that $761 billion in goods was returned in 2021. While this is an industry-wide number, Amazon accounts for a large portion of it. After all, the retail giant sends over 1.6 million packages daily. Considering that most consumers favor a brand based on its return policy, it's no wonder that Amazon and Shein have exceptionally easy policies in force.
That said, some products can't be returned, such as underwear and jewelry from Shein or consumer packaged goods from Amazon. If you're hoping to open and operate a bin store, it's crucial to understand which items can't be returned, as they won't be available to buy from these companies.
How to Start a Bin Store
Starting a bin store is much easier than you might think, and there's always the potential for decent profit margins. However, what you get out of your business venture depends on what you put into it. So, here are the basic steps involved, complete with pro tips on how to make this business model work for you.
Step One: Determine Your Sales Strategy
Typically, bin stores don't do much inventory management or quality control. Instead, they buy a pallet of returned merchandise and place everything in bins. Sometimes, these bins are arranged by category, but not always.
As we mentioned, most of these stores don't resell items online because it takes up too much time and energy. However, since you'll be in charge of your business, you can run it how you like.
For example, when buying a new pallet, you can go through the items, pick out high-end merchandise, and list it online for a higher price. Then, everything else goes into the bin for customers to sift through themselves. You may also want to spend time organizing and showcasing items so it's easier for customers to find what they want.
Overall, you can start with a basic model of "dump and sell," and then refine your strategy as you go.
Step Two: Secure Returned and Unsold Items
It's actually much easier to buy pallets of returned items than you might think. You can work with the company directly or use a third-party wholesaler to make the deal. Generally, buying from sites like Amazon or Shein directly is better because you don't have to pay a markup in the middle.
On average, a single pallet can run from $300 to $1,500, depending on what's on it. Usually, consumer goods and essential items are relatively cheap, while electronics run for a higher price. Also, remember that third-party companies add an upcharge, so if it costs them $300 for a pallet, you may have to pay $400 or $500 for the same thing.
As you build your business, you can source returns directly from other retailers and online vendors. Since it's often better to take a guaranteed sale than to repackage and resell the item, most stores are willing to sell bulk returns for pennies on the dollar.
Step Three: Market Your Bin Store
The simplest way to market your bin store is on social media. Not only is it free, but you can upload photos of high-end or high-demand items to drive traffic to your store. Over time, you can potentially list individual items for sale or build a website so people can find you more easily.
While most bin stores sell everything they can find, you may decide to fit within a specific niche (i.e., health and beauty). This will make it easier to find qualified leads and market your business since you're only appealing to a certain demographic.
FAQs About Bin Stores
Are bin stores profitable?
Yes, bin stores are often profitable, although they won't necessarily make you rich. Factors that can affect the profit margin of a bin store include the cost of overhead (e.g., retail space, utility bills, and labor) and the quality of returned items being purchased.
What does Amazon warn about frequently returned items?
Amazon has started putting a "frequently returned" notification on items that are often returned by customers. This badge is designed to help cut back on returns, so there may not be as many of them available in pallets for resale.
Which is better quality: Amazon or Shein?
The answer depends on what you're buying. As a rule, Shein's clothing and accessories are better than those you can get from Amazon. However, Amazon has more options and higher-quality products like electronics, health and beauty items, and more. So, if you're starting a clothing bin store, you should work with Shein. However, if you're starting an "everything" bin store, it's better to work with Amazon.
As you can see, bin stores can be an exciting way to find high-quality products for a fraction of their sale price. As long as you know the potential risks and downsides of shopping at these stores, you can sometimes strike gold. Also, if you're looking for a relatively simple and profitable business model, a bin store could be a decent option.
The responses below are not provided, commissioned, reviewed, approved, or otherwise endorsed by any financial entity or advertiser. It is not the advertiser’s responsibility to ensure all posts and/or questions are answered.
