Spokane Valley-founded online auction retailer BuyWander Inc. is moving its headquarters to Kent, Washington, as the rapidly expanding company looks to tap into the West Side's deep pool of e-commerce and retail talent.

The company will maintain a significant presence in the Spokane area, where about 65 of its 325 full-time employees are based, says Jordan Allen, BuyWander co-founder. The Inland Northwest also remains an important testing ground for the company’s technology and operations, he says.

The decision to relocate comes as the company expands into more metropolitan markets and builds out its executive team to support its growth. The company now operates in eight U.S. cities, including new locations in Denver and Chicago. A location in Minneapolis also is expected to open in early October, Allen says.

For Allen, a Spokane native, moving the headquarters was a difficult but strategic decision.

“It’s bittersweet,” Allen says. “I grew up in Spokane. I’m a Spokane patriot.”

The Seattle area, however, offers access to experienced workers and executives from some of the country’s largest retailers and e-commerce companies, including Amazon, Costco, REI, and Starbucks, Allen says.

“If you want to be a country singer, go to Nashville. If you want to be an actor or actress, you go to L.A.,” Allen says. “If you want to build an e-commerce giant, you go to Seattle.”

Relocating near Seattle gives BuyWander executives greater opportunities to develop relationships in person rather than relying primarily on virtual meetings, he notes. But, despite the move, Spokane Valley remains BuyWander’s largest operation and continues to play a central role in the company’s development, Allen says. The Spokane Valley facility produces about 50% more volume than any of the company’s other locations.

“This is our epicenter of where we test, where we learn,” Allen says.

BuyWander's business model centers on what Allen calls “misfit inventory,” including retail returns, excess inventory, overstock, and out-of-season merchandise that retailers need to move out of their supply chains.

The company auctions those products online, with each item starting at $1 and carrying no reserve price. Customers then pick up their purchases on-site rather than having them shipped.

BuyWander auctions between 3,000 and 5,000 items daily in Spokane and between 30,000 and 35,000 items throughout its entire network, Allen says. The company has more than 150,000 registered users who bid on those products, Allen says.

"We've been seeing what I call e-commerce auction hysteria," Allen says. "A lot of consumers are turning to us as a way to get the products they want without paying full price." 

Although Allen declines to disclose the company's revenue, he says it continues trending upward.

BuyWander also has expanded its leadership team as it prepares for its next stage of growth, Allen says.

The company has hired Laura Sasser as chief operating officer. Sasser brings about 25 years of industry experience and an understanding of discount retail and profitable operations, Allen explains. BuyWander also added Daniel Kiepfer to oversee data and artificial intelligence initiatives. Improving the company's use of data will give its leadership greater visibility into operations and allow it to make decisions more quickly, he says.

Roger Ling, the company's first full-time marketing hire, is working on BuyWander's branding and identifying opportunities to improve how the company presents itself to consumers. Allen says BuyWander expects to roll out a revamped platform and messaging over the next several months. The company also hired Abu Marcose, who previously worked on warehouse and logistics technology at Amazon. In his role, Marcose will help develop technology to improve inventory movement between warehouses and determine where products should be sent and how long they should be stored, Allen says.

Over the next year, BuyWander plans to complete its leadership team, improve technology, and add supply partners. Allen says the company's goal is to operate in every major U.S. city within three years. Within five years, Allen says he wants BuyWander to become the country's most trusted marketplace for e-commerce and retail returns.

The company's growth also reflects a broader challenge for retailers that accumulate returned products they can no longer sell as new. BuyWander offers another sales channel while keeping merchandise in use rather than potentially sending it into the waste stream, Allen says.

“We’re seeing the consumer demand just incredibly strong as we continue to grow this,” Allen says. “It’s good for retailers, it’s good for the environment, but it’s also good for our customers’ wallets.”