Deal Partners, a re-marketer of certified refurbished goods, plans to attend The Inspired Home Show in Chicago as part of a strategy to widen its offering in home and housewares categories.
Kevin Hamann, Deal Partners co-founder and CEO, said re-marketing of refurbished goods has gained traction during the pandemic as a value-added outlet serving surging demand for small appliances and housewares. The company cites research identifying Millennial consumers as a prime demographic for refurbished goods because such products minimize waste while providing a more affordable entry for such consumers into products and brands.
Deal Partners, started by Hamann and Jeromy McVige in Buffalo, NY in 2012 as a wholesale distributor of consumer tech closeouts. Its re-marketing transition was jumpstarted when the company was approached to re-sell a brand’s refurbished goods.
Andrew Scarcello, CFO, and co-founder Jeromy McVige at the Deal Partners Buffalo fulfillment center
Deal Partners, which buys refurbished goods directly from brands, sells such goods direct to consumers with full transparency through verified e-commerce channels that don’t disrupt traditional channels for new goods, Hamann said. Deal Partners provides brands an outlet for returns from traditional retail customers, and it can help set up brands with established certified refurbishers as needed.
The goal, he said, is to give brands complete control of their refurbished goods while optimizing sales recovery.
“We want to make sure we sell through channels in a way that doesn’t cannibalize a brand’s core business,” Hamann said, noting the company soon will launch a vendor portal to give brands real-time access to inventory and sell-through data. “We share all the data on the product sold. We work as an extension of the brand’s sales team to come up with a sell-through strategy.”
Deal Partners sells refurbished goods as a third-party seller through a range of e-commerce platforms for such products, including Amazon, eBay, Overstock, Amazon’s Woot.com and Target Plus.
Deal Partners is preparing to introduce a new corporate identity under the Verdi brand with plans to launch updated corporate and direct-selling websites during the second quarter of 2022, Hamann noted.
Hamann said Deal Partners works with each brand at to find the most effective, non-disruptive value pricepoints for their refurbished goods— generally at 15% to 20% discounts relative to new product pricing. He added the company also looks to focus its re-marketing schedule for brands outside of their normal promotional schedules.
Deal Partners fulfills through facilities in Buffalo and Dallas, and it plans a third center on the West Coast. Buying teams are at offices in Buffalo, Dallas and Miami.
The company’s portfolio of housewares partners includes such brands as Cuisinart, Nutribullet, Nuwave and Omega.
Mike Griffith, a veteran housewares and retail merchandising executive, joined Deal Partners as vice president, housewares in January 2021 to help drive the company’s housewares expansion.
“These products still have a lot of life in them,” Griffith said. “It gives us a chance to work with vendors to help them recover money by offering a true value to consumers… The more protective they are of a brand, the more we can help.”
Deal Partners was re-capitalized in 2020 by Buffalo-based Lorraine Capital with Deal Partners management retaining 35% equity in the company.
