You can go touch and feel the merchandise but be ready to pay 25% to 40% higher than a wholesaler … A wholesaler will sell his product in bulk quantities to retailers, allowing the retailer to take advantage of a lower price than if he were to buy single items. Selling your goods through a retail distribution channel is one option for reaching customers and prospects efficiently. Wholesaler – Business to Business sales and Business to customer sale Wholesalers have huge quantity of the same product (Imagine a marble shop which is a wholesaler and has huge quantity of different marble floorings and tiles). Retailers act as a middleman between wholesale companies and consumers. You can distribute products on the wholesale side to your retail outlets or other retail outlets. The Advantages of Selling Goods Through a Retail Distribution Channel. This not only earns you money, it also supports the economy in your area considering that a good market for a small business is another small business. The Wholesaler may also be the manufacturer or producer of the product, but they don’t have to be.
Buying wholesale products and selling them at retail prices can be the foundation of a solid business model. Many online retailers sell wholesale products, either as is, or with their custom brand applied to the product. It involves selling your products to retailers who then sell to consumers. A restaurant is only as good as the food it serves. A Wholesaler is a person or company who sells products in bulk to various outlets or retailers for onward sale. A distributor that sells products to a retailer. This is a major difference between wholesalers retailers and distributors – the number of units they have in stock at a time. What distinguishes a retail transaction from a wholesale one is the fact that the sale involves the end buyer. However, there is much more to becoming a successful retailer than just buying low and selling high - primarily determining what to sell, where to buy it, and how to resell it at a profit. The wholesaler will typically buy goods direct from the manufacturer, but could also buy from a reseller. Off the bat this gives you two avenues to generate business. The concept is simple - a product is purchased at a low price and resold at a higher price. For online retailers who are unable to purchase directly from a manufacturer or distributor, this is the most likely source of retail products. Wholesalers work as middlemen between the retailer and the manufacturer of the item. The definition of retail doesn’t so much concern the type of distribution channel as it does the parties involved. Wholesalers are able to sell their products for a lower unit price as they are selling in bulk, which reduces the handling time and costs involved. And just like the retailer is a middleman between wholesaler (or supplier) and customer, a wholesaler acts as a middleman between supplier and retailer. The advantage of shopping at a retail store is you get to buy the item immediately and take it home with you the same day and don’t need to wait for a box to come in the mail for you.