Buying merchandise directly from wholesale distributors and selling to customers is one of the best business plans around for retailers. The main advantage of this method is being able to cut out middlemen that inflate costs of purchasing. Though wholesale buying and selling can be profitable, it’s not without its problems. Mainly, this system works only if you manage to find a reliable wholesale distributor.
Most small businesses that are just starting out may have trouble landing such a distributor. If you are new to the wholesale purchasing model, here are several tips that will help your company land a great distributor:
Research Wholesalers Specialising in Your Industry
The best way to find the right wholesaler will take some time. Retailers should first dedicate some time and resources to finding a wholesale distributor for your particular industry. It’s common these days to rely on sell-everything distributors like Alibaba. Purchasing items from a wholesale distributor like Alibaba can be very cheap. But it may not be what you are looking for.
Retailers can benefit from varied and better quality products by finding wholesalers that cater to specific industries. For example, Blankclothing online in Australia specialises in wholesale apparel. This type of distributor is ideal for local companies. Likewise, find a wholesale distributor that offers varied, high-quality products your business can rely on.
Don’t Underestimate the Quality of the Products
Consumers these days have so many options readily available for buying just about anything. Therefore, if you want to attract customers, the products will have to be of high quality and may even be unique. The uniqueness can be created by branding. But the quality must be inherently there when you purchase the items from the wholesale distributors.
While retailers can look to services like Alibaba for dirt cheap bulk purchases, nothing really guarantees quality. Therefore, when choosing a wholesale distributor, don’t just look for the bulk price. Assess the quality of the items as well.
Find a Local Distributor to Cut Costs
International wholesale distributors are convenient, but with a local distributor, you can avoid international shipping cost worries. While the product prices may be the same, the transportation fees with a local distributor will be much less. Not all retailers will be able to find local wholesale distributors for their products, but if you can, you should.
Aim for Good Relationships
Cherished face-to-face interactions that built businesses of the past are largely lost these days to apps and emails. That doesn’t mean, however, that business relationships no longer matter. You may be able to place an online order for a bulk purchase. Still, your relationship with the distributor will determine whether you are getting a good product on time as you need.
Therefore, when choosing a wholesale distributor, good communication is also a must. It’s best if you can contact the distributor face-to-face and establish a solid business relationship. You can negotiate prices and address other issues in a mutually beneficial manner if you do so.
Use the above tips to land a great wholesale distributor for your retail business. Don’t expect the process to be quick. Try to find a distributor who offers quality products, reasonable prices, and can communicate well.