Warehouse86 Intro Deck

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Corporate Info Reverse Logistics & Liquidation

Transcript of Warehouse86 Intro Deck

Corporate InfoReverse Logistics & Liquidation

Bringing retail full circle

Warehouse86 is a family of companies providing innovative and global solutions for the diverse vertical needs of reverse logistics and liquidation.

Leveraging significant investments in technology to ensure state of the art receiving, documentation, storage, marketing and distribution, Warehouse86 became the largest online auctioneer in the world in 2007.

Our unique combination of offerings is unparalleled in the industry, providing us with the ability to service retailers and manufacturers with liquidation solutions that are transparent, reliable and create new profit centers.

As a retailer, how can you get more out ofthe WHOLE product life cycle?

Research & Sourcing

Forecasting

Procurement

Pricing

Routing

Distribution

Online or In-Store

Marketing / Merchandising

Purchased?

YES

NO

YES

STARTREVERSE

LOGISTICSPROCESS

Happy with Product? NO

InventoryManagement

Reallocation /Distribution

Forecastingof FinalLosses /

Gains

Liquidation

FinancialReconciliation

But what if your tail end could yield higher returns…in CONTROL, EASE & REVENUE?

STARTREVERSE

LOGISTICSPROCESS Liquidation with

Warehouse86Redistribution to a Single Pont

Receiving Inventory Reconciliation

& Visibility

FinancialReconciliation

SecureStorage

Web-basedAuction

Consumer DemandDriven Pricing

Forecasting based on

Sell-through history

Real-time Item-specific Reporting

REV

ERSE

LO

GIS

TIC

SFO

RW

AR

D LO

GISTIC

S

Reverse Logistics can be really backwards…

Forecasting relatively Straightforward

One to many distribution points

Product quality uniform

Product Packaging uniform

Destination / routing clear

Disposition options clear

Pricing relatively uniform

Importance of speed recognized

Forward distribution costs easily visible

Inventory management consistent

Product life cycle manageable

Negotiation between parties straightforward

Marketing methods well known

Visibility of process more transparent

Forecasting more difficult

Many to one distribution points

Product quality not uniform

Product packaging often damaged

Destination / routing unclear

Disposition not clear

Pricing dependent on many factors

Speed often not considered a priority

Reverse costs less directly visible

Inventory management not consistent

Product lifecycle issues more complex

Negotiations complicated by several factors

Marketing complicated by several factors

Visibility of process less transparent

VS

Reverse Logistics can be really backwards…

Forward Logistics vs Reverse Logistics

Forecasting Relatively straightforward More difficult

Distribution points One to many Many to one

Product Quality Uniform Not uniform

Product Packaging Uniform Often damaged

Destination / Routing Clear Unclear

Disposition Options Clear Not clear

Pricing Relatively uniform Dependent on many factors

Importance of Speed Recognized Often not considered a priority

Forward Distribution Costs Easily visible Less directly visible

Inventory Management Consistent Not consistent

Product Life Cycle Manageable Issues more complex

Negotiation Between Parties Straightforward Complicated by several factors

Marketing Methods Well known Complicated by several factors

Visibility of Process More transparent Less transparent

Reverse LogisticsWarehouse Management SystemOnline LiquidationOnline Auctions

Warehouse 86 Offerings

Bidtopia is a liquidation friendly auction environment where we host multiple online “store owners” who conduct most of their sales one by one to the end consumers. Other auction platforms, like eBay, are restricting the ability to auction liquidation merchandise through an ‘as-is’ auction format. Overstock, eBid, and Ubid are not capable of handling the volume of business conducted by Bidtopia. Bargainland was the number one seller on eBay, out of nearly 300 million registered users, and is now currently exclusively selling on the Bidtopia platform, bringing all of its customer base to a more conducive and controllable auction site (Bidtopia).

Bargainland is our online store that lives on the bidtopia.com site, and liquidates your inventory items one by one, we achieve a significantly greater per-item revenue for you than you are getting today. We also create valuable data and reporting that eliminates fraud, detects consumer abuse, and provides line item accountability (rather than truckload guesstimates) for your liquidation process.  Since our sales process includes the warehousing, description, and final liquidation of the merchandise (at no charge), our customers can often eliminate operation of their own returns center, processing center, or liquidation/storage center while receiving a larger historical return.  

The Gavel is an expanded warehouse management system providing complete transparency into the entire life cycle of the asset recovery process. Where most reporting systems stop the reconciliation process at the disposition of the truckload liquidation, The Gavel continues to track each item, where and how it was sold and to whom. This includes, if necessary, tracking numbers and delivery confirmation to the end user, their name and address, a photo and detailed description of the individual item, what they paid and who were the competing bidders. All information is provided in “real time” through secure on-line reporting.

Partnering with Microsoft on a custom software that is making waves in the industry, Warehouse86 has unique the reverse logistics technology that connects everything we do. Through our national return centers and warehouse locations, we provide software systems, visibility, accountability and the physical storage of inventory.

Bargainland is an online ‘as-is’ liquidation e-tailer, handling merchandising, sales, collection of payment and customer service. Since Bargainland sells millions of different SKUs, one by one to the end user, they receive the highest possible revenues.  There are 3 corporate degrees of separation from you to the end consumer (W86 / Bargainland / Bidtopia) to allow our sellers to escape channel conflict.

How We Can Deliver for You

W86 unloads the items and stores them in a secure location, until

time of sale. The Gavel captures EXTENSIVE data on each and

every item in the truck including condition of item, weight,

descriptions, model numbers, photographs, categories, etc.

Each day we individually photograph, describe, weigh, and

sort tens of thousands of items.  This information is then posted

back to the customer through the Warehouse86 on-line reporting

systems.

Bidtopia is the preferred on-line auction site that houses many

sellers including our online “store” called Bargainland, which

just became the largest online auctioneer in the world.

Core Competencies

Online Auction

• Bidtopia.com• Bargainland.net

• In Source & Outsource Models

Software Solutions• National Return Center

Program Development • Lost Freight Tracking Programs• Fraud Interdiction Programs• Client Systems Integration

Tactical Programs• Item Identification• Item Tracking• Search and Recovery• Operational logistics • Liquidation & Reverse

Logistics Consulting• Customer Service

• Over 2,000,000 Auction Visits Daily

• 98.9% Sell-Through Rate • 7 Day Sell-Through

Highest Rate of ReturnFinancial Reporting

• On-Line Reporting• Real-Time Financial

Information• 24-7 Auction

Monitoring System

Independent 3rd Party Validation

• Transparent Marketplace• Redundant Public Record Keeping

Warehouse86’s single greatest achievement is the abilityto take a ‘red line’ expense division and turn it into a profit center.

Why pay a reverse logistics company to process your merchandise when Warehouse86 can work with you on a consignment model or

scale to a purchasing relationship, AND pay you significantly more money for your liquidation merchandise as part of the process?

How does Warehouse86 do it differently?