February 15, 2020 - Pawn Resources
To protect your pawn shop and your pawn customers, it is important to stay in-the-know of which consumer products are being recalled at any given time.
The recent Samsung Galaxy Note 7 crisis was a real headache for retailers and taught many pawn shops the importance of staying aware of consumer product recalls. If you were lucky enough to have not bought or sold any of the Galaxy Note 7 devices, that’s wonderful. However, you don’t want to be a victim of a similar circumstance in the future.
Read on for tips to protect your pawn shop from the effects of product recall and learn how to ensure your shop avoids buying and selling products that present a safety hazard.
The Consumer Product Safety Commission (CPSC) publishes a list of recalls as they are released. This is where consumers go to report unsafe products as well as get timely information on product recalls.
There are multiple product recalls being announced each week, and these fall into a diverse set of categories. Your pawn shop likely buys and sells from at least a couple of these categories including—but not limited to—power tools, furniture, appliances, bikes, weaponry and electronic devices.
Subscribe to the CPSC’s RSS feed to receive notifications of new product recalls.
The first step is to educate yourself as the shop owner, keeping tabs on what’s going on in the consumer product recall world. The second step is to educate your staff on the issue.
If your staff members have any doubt about a product a customer is trying to sell to your shop, they can do a quick search in the CPSC’s database by typing in the manufacturer name on the recall page. Ideally, this would happen before the transaction is made.
The Samsung Galaxy Note 7 was a popular electronic device, so pawn shops were more likely to be affected by that crisis than one involving a no-name furniture company recalling a specific dresser. If it seems overwhelming to stay current with all product recalls, try to pick a select few categories highly relevant to your shop for a spot check each week.
Similarly, you might play it on the safe side by taking a walk through your shop and see if any products in your current inventory are in the recall database. If you identify any matches, you should remove the item from the shelf and count is as a loss.
It’s not worth compromising your customer’s safety or your pawn shop’s reputation.
David Stiebel is one of the cofounders of PawnGuru. David was educated at MIT, where he studied Math. He subsequently worked at Bain as a data scientist before starting PawnGuru in 2015. He started PawnGuru to build a better tool for pawn shops and consumers to connect.More Articles