Holiday returns hit bargain bins around Tampa Bay
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Illustration: Sarah Grillo/Axios
If you returned a holiday gift you didn't love, someone else will probably love getting it for a bargain.
What's happening: Since we told you about Hotbins in 2022, more stores selling online returns have popped up in Tampa Bay. And if you're curious, now is the time to check them out.
- Hotbins Tampa co-owner Mike Ijak told Axios that more big-ticket items are popping up in his bins now that holiday returns are being processed.
- "Last year they all came in at the same time. Now it's slowly in different shipments," Ijak said. "The quality of the merchandise is going to become better."
Why it matters: Returns aren't just a side effect of the retail business. They're a multi-billion dollar industry.
By the numbers: The National Retail Federation estimated last year's total returns at $743 billion in merchandise, or 14.5% of sales.
- Online purchases have a higher return rate than in-store returns, 17.6% or $247 billion, according to the report.
- Salesforce predicted a "return tsunami" of $131 billion in recent holiday orders globally.
How it works: When you send back online purchases, they don't go back to the retailer you bought them from. Most of the time, they go to return processing centers.
- If a product is in good enough condition to be resold, but not worth it for the retailer, it usually ends up on a liquidation pallet bought by bin stores around the country.
- The rest is either donated, recycled or destroyed.
Zoom in: Hotbins opened a Sarasota store last year. It's expanding into Brandon next week, and is planning stores in Holiday and Miami.
- Homosassa-based chain The Bin Spot just opened a St. Pete location, its fourth in Florida along with three stores in Georgia.
Between the lines: If you go hunting for holiday returns, you'll have to sort through random off-brand junk.
- But that random off-brand thing you find will probably be worth way more than what you pay.