One of the most vital things that a retail business needs to figure out is where to find products to sell. And this point towards buying from the wholesalers.
It’ll come as a surprise to know that most retailers don’t make their merchandise. Yes, instead, they get their products from wholesalers. Wholesalers tend to be excellent sources of merchandise that provide constant support as the business evolves and grows.
While wholesale buying may seem mysterious initially, it can prove to be a business’s best bet. Reading through this guide, you’ll know contacting a wholesaler for bulk product purchases is vital for your organization. Let’s get going:
Buying Wholesale- What Does that Mean?
Buying wholesale and retail are two different aspects. Purchasing merchandise from a wholesaler means shopping from an intermediary between the manufacturer and the retail store. Wholesale purchase is always made in bulk who in turn offers a discount.
After a wholesale purchase, you as a retail business can sell them at your store at a higher price for making a profit. This higher price comes to be known as a retail price, which the customers pay for shopping in your store.
Selecting a Wholesaler- What are the Benefits of Having One?
Wholesale purchases tend to reduce the per-unit costs. However, the benefits tend to be even better when you can develop a reliable network of suppliers. These tend to impact the key performance indicators (KPI) as your business specifies those to be.
Some other benefits include:
— Lower costs
— Better product selection
— Ability to scale up
Finding a Wholesaler- What are the Things to Consider?
There are several ways of finding a wholesaler. You can start by looking at your local chamber of commerce. If you’re in regular touch with other business owners, make sure to use crowdsourcing from your network.
Know that this is one of the best ways of searching for a good trader for your business as you’ll know what to look into and the things to avoid.
Now that you have a list of wholesalers make sure to research for them by reading online reviews. These reviews represent the wholesaler, their products, merchandise quality, delivery speed, and others. Once you have only a few options, make sure to ask them some questions about choosing a wholesaler.
Some things you must inquire about are:
What merchandise do you sell?
Suppose you’re selling various products or plan on keeping your store specific. In that case, it is vital to choose wholesale partners that carry products as per your needs. The Bulk Good Trader can be your best bet as these wholesalers provide multiple products under one roof.
Or, you can also consider different wholesalers if you can’t find the desired products in one place. Just make sure that the merchandise the wholesaler is offering aligns well with the store you run.
After all, it’s about maintaining a consistent brand.
- What is the price point?
The entire essence of reaching out to a wholesaler is to make the desired profit. Thereby, when choosing a supplier, ensure getting pricing that allows you to hit the expected profit, which will enable expansion and consistent revenues.
- Does the wholesaler hold reliability?
It is never ideal for working with a team you can’t rely on. Thereby, the wholesalers who deliver merchandise after the stipulated time or don’t show up, or even worse, deliver damaged products aren’t good for a business.
You can gain information about the bulk trader’s reliability by checking for his reviews online.
- Do they have excellent customer service?
Make sure that the company you reach out to has a reliable customer service team so that you’re able to reach out to them when needed.
After all, it shouldn’t be the one you have to jump around hoops to get your questions answered. It indicates that the customer service team isn’t around and responsive, and you need a new wholesale partner for your business.
- What is their knowledge about the Product?
Make sure that the partner you choose has a strong understanding of the products they sell. Their work is not only to share information with the customers, but they must also provide you a surety of their consistency. Yes, that their products have the required performance and quality.
Wholesalers who can’t answer product questions or others associated with their sales aren’t the best. It may mean that they lack some knowledge and don’t care. So, whenever you select a partner, make sure they answer all your queries adequately.
- Can they Drop Ship?
If you sell your merchandise online, it is wise to ask some questions to the wholesaler, one of which is whether they dropship. Know that drop shipping is a fulfillment method in which the wholesaler stores the inventory and handles shipping with ease.
When someone places an order from the eCommerce store, it is vital to pass on the information to the wholesaler. And then they’ll be able to ship the order to the customer directly.
It is an excellent option as you’ll be able to save on shipping and storage. Also, it’ll be a great way of undertaking business. If the partners decide to dropship, ask them to send samples of each product they sell. With this, you’ll be sure of the product quality.
A Reliable Partner- What are Some Additional Factors to Consider?
Some additional factors to consider when thinking of buying wholesale products are:
- Finding the reorder points
- Negotiating is the key to making product purchase decisions
- Optimizing the storage space
- Getting right products for the store
The Bottom Line
If you aren’t purchasing goods in bulk, it’s time to embark on the journey of wholesale buying. When you buy bulk products from a wholesaler, it is vital to select a company that’s the best suited to you. It should be the one which provides excellent customer service and saves your time.
Know that the process of finding the right product from the right company may seem tiring, but your hard work is sure to bear fruits in the future.
Furthermore, buying in bulk works the best for enterprises with plenty of storage space and a top-notch maintenance system.