A consignment shop is a retail store that sells items produced or supplied by someone else, and pays them a portion of the profit. The consignee or store offers up space or a platform from which to sell, and accepts items for sale, agreeing to pay the seller a percentage of the proceeds if and when the goods do sell. Consignment stores are typically for-profit organizations that specialize in a particular type of consumer product, such as clothing, shoes, athletic equipment, and baby furniture and accessories.
Unlike thrift stores, consignment shops pay the owner of the goods a percentage of the items total sale price once they sell them. The store typically offers 30%-50% of the final price, and both the shop and the owner profit financially from the sale of goods. Consignment shops usually resell only the items they think will appeal to their target audience, and as a result, consignment store items tend to be of consistently better quality than those found in thrift stores. There are usually buyers on staff at consignment stores who inspect pre-owned items to see if they’ll sell, making them more selective than thrift stores.
Consignment stores may be centralized in the same floor or area in shopping malls so that customers can compare the products easily in the diversified world of boxes. Customers can purchase different types of products in one store so that they can shop more conveniently. The appearance of consignment stores could greatly encourage the production of DIY goods, as people who love making accessories could step out and sell their products.
