26 Dec
Table of content
Introduction
In wholesale we usually deal with the terms “Clean” and “Decoded” merchandise. Both these concepts help traders deal with buying and selling more efficiently and are important to be aware of. Items come in different types of packaging. We will discuss all of them one-by-one but specifically focus on what “Clean” and “Decoded” means.
Types of products in Supply Chain
1. New clean
Merchandises that are just manufactured are new and clean. These are referred to as “New clean”. Here the term “Clean” means that the merchandise carries the information about its origin.
2. Clean only
Merchandises that are clean (having the information about their origin) but have been passed on (sold further) from the point of manufacturing are referred to as “Clean only”.
3. Decoded only
The term “Decoded” means that the tag/code that consisted of the information regarding the merchandise’s origin or previous seller has been removed. This enables trade data protection.
So in this case the buyer cannot approach the previous seller or manufacturer and has to buy goods from the immediate seller for the decided price.
4. Used
As the name suggests, “Used” merchandise are used (not new) and are usually 2nd hand pieces.
5. Store returns
When Brick & Mortar stores return items which were not sold, these items are put under the “Store Return” category.
6. Expired
As the name suggests these items are expired.
7. Mixed
If a mix of the type of merchandise mentioned above.
Clean vs Decoded Merchandise
1. Clean Merchandise
Clean merchandise doesn’t offer trade data protection but offers authenticity. The code of these products has not been removed yet. The code shows the origin of the merchandise.
This unfortunately offers transparency to the buyer and allows the buyer to directly procure merchandise from the manufacturer or initial seller as they can offer it for a cheaper price.
On the contrary, this allows the seller to project the authenticity which further projects the quality of the merchandise.
2. Decoded Merchandise
Decoded merchandise offer trade data protection but don’t offer authenticity. The code shows the origin of manufacturing and the original price of a merchandise. This code when removed from the merchandise takes away the “Origin of Manufacture” and “Original Price” information with it.
This doesn’t allow the buyer to know the origin of merchandise which means that the buyer cannot directly procure the merchandise from the origin and has to settle for the seller and the seller’s price who is making the offer.
On the contrary it fails to show the authenticity and quality of the merchandise.
Conclusion
Both these kinds of products have their own pros and cons and need to be sold in different ways and to different target audiences.
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