Like me, you have probably noticed a large number of retailers advertising furniture closeout sales in the past few months. In Beaverton, Oregon near Washington Square, several stores announced bankruptcy closeouts in sequence over the past several months. First Levitz, Wickes and then Bassett Furniture.
We all love the idea of a bargain, and the bankrupty notices on every street corner are somewhat effective at getting us to stop by and canvas the showrooms for “deals”.
Did you know each of these companies hired a third party company to liquidate their furniture and closeout the stores? These liquidation companies brought in their own employees, re-tagged merchandise, and even brought additional merchandise of their own. (Put simply, some of the merchandise in the closeout sale was never sold by the company that is going out of business. It is new merchandise placed in the store to sell for a profit.)
As an interior designer, I have visited these sales in amazement. The close-out prices in some cases is higher or the same price as the old retail prices. When I have seen a sale price, it has been similiar to a weekend sale you might see when the store was still open. In all cases, I have yet to see an item that is a great buy.
What is it about us that we want to believe we are getting something for a deal? How do you know when to buy and when to walk away?
Do your homework before you buy, and most of all don’t buy something just because you think it is a closeout price. It is not a deal if you didn’t need it in the first place.
It is unlikely you are going to find a great piece that you will cherish for years at a close out sale anyway, isn’t it?