Shorewood auction company giving unwanted gifts a second chance

SHOREWOOD, Ill. (CBS) -- Many presents are making their way from under the tree to the return pile, but what happens to items that don't fit or aren't wanted?

CBS 2's Ash-har Quraishi went inside an online auction company in the southwest suburbs that is giving these items a new shelf life.

It's not the "Island of Misfit Toys," but an entire warehouse in Shorewood devoted to returns.

It's all part of slibuy.com, an online auction company that also operates a deeply discounted dig store and fixed-price warehouse sale.

"Probably the strangest thing I've ever seen is a full-size hot tub come off the back of a truck," said CEO Steve Fitzgerald.

Fitzgerald said companies like his take what retail stores don't want to re-stock.

"A lot of cases, things get returned, and there might be box damage, or missing screws, or missing directions, and retailers really want to protect their customer experience, and they want that to be perfect," he said.

Every day, they get a 40-foot trailer filled with 1,600 boxes of items, without knowing what's in them. Once processed, items in imperfect to pristine condition are put up for bid.

"It's anywhere from 50 to 90 percent off of regular retail," Fitzgerald said. "Everything starts at $1. There's no reserve price, and the market determines what's it's worth."

Josh Comer has snapped up hundreds of deals. What does he do with all that stuff? He resells it as a side hustle.

"Some stuff, I keep," he said.

This reverse-logistics ecosystem, as it's called, is mindful of both planet and pocketbook, giving unwanted gifts a second chance.

"It's affordable, and in these times, that's what people need," shopper Edward Ware said.

More online shopping has increased return volumes. According to the National Retail Federation, $218 billion worth of online orders were returned last year.