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How Wholesale eCommerce Business Works What Is Wholesale in eCommerce? Wholesale is when you buy a product in bulk from the manufacturer and resell it at a higher price to a retailer, who then resells it at a higher price to consumers. When these transactions take place over eCommerce platforms, it’s known as eCommerce wholesale or wholesale eCommerce. How Does Wholesale eCommerce Work? When wholesalers buy a product in bulk, they get a discount from the manufacturer. If retailers buy in bulk from the wholesaler, they can also get a discount. The retailer then repackages the items into smaller quantities to sell to consumers at a higher price. This supply chain enables the manufacturer, the wholesaler, and the retailer to gain profit from their business. In wholesale eCommerce, the wholesaler or retailer buys a product at a discounted price and then resells it on their eCommerce website or storefront. There are also wholesale eCommerce marketplaces where multiple retailers or vendors sell products on the same platform or from their own connected eCommerce stores. What Do Wholesalers Do? Wholesalers don’t usually manufacture the products they sell. Instead, they buy directly from manufacturers and make their business selling to retailers and fulfilling those orders. Wholesalers also typically get up-to-date or trending products so that retailers have the latest and greatest, meaning that more consumers will buy their products. To get those trending products, wholesale business requires lots of research on products and different manufacturers and distributors. Once they find the best products at the best price and quantity, they offer these goods to retailers, making it easier for retailers to get what they need. Because wholesalers are a link between the retailer and the manufacturer, they are a type of intermediary in the supply chain. And though they sell the products at a higher price to the retailer, they usually still give the retailer a similar discount that they received from the manufacturer. A wholesaler may offer a variety of products or focus on just one product or a certain niche. It may be convenient for a retailer to get certain products from one source—the wholesaler—which is one other reason a retailer might buy from a wholesaler and not directly from the manufacturer. Wholesalers can also sell competing products because they aren’t the same as an official distributor for a brand. Therefore, they aren’t directly connected to company’s products and don’t usually provide product support. Discover Your Wholesale eCommerce Solution At Clarity, our goal is to help you grow your business. That’s why we offer a free discovery session, no strings attached. Click the button below to sign up. Get A Free Discovery Session Related Posts eCommerce Group Ordering and Buying Groups Catalog Pages for Your eCommerce Store Bulk Ordering in eCommerce: Streamline Your Process Written by Autumn Spriggle Autumn Spriggle is a Content Writer at Clarity Ventures with experience in research and content design. She stays up to date with the latest trends in the tech industry so she can write content to help people like you realize the full potential for their business.
Wholesale is when you buy a product in bulk from the manufacturer and resell it at a higher price to a retailer, who then resells it at a higher price to consumers. When these transactions take place over eCommerce platforms, it’s known as eCommerce wholesale or wholesale eCommerce.
When wholesalers buy a product in bulk, they get a discount from the manufacturer. If retailers buy in bulk from the wholesaler, they can also get a discount. The retailer then repackages the items into smaller quantities to sell to consumers at a higher price. This supply chain enables the manufacturer, the wholesaler, and the retailer to gain profit from their business.
In wholesale eCommerce, the wholesaler or retailer buys a product at a discounted price and then resells it on their eCommerce website or storefront. There are also wholesale eCommerce marketplaces where multiple retailers or vendors sell products on the same platform or from their own connected eCommerce stores.
Wholesalers don’t usually manufacture the products they sell. Instead, they buy directly from manufacturers and make their business selling to retailers and fulfilling those orders.
Wholesalers also typically get up-to-date or trending products so that retailers have the latest and greatest, meaning that more consumers will buy their products.
To get those trending products, wholesale business requires lots of research on products and different manufacturers and distributors. Once they find the best products at the best price and quantity, they offer these goods to retailers, making it easier for retailers to get what they need.
Because wholesalers are a link between the retailer and the manufacturer, they are a type of intermediary in the supply chain. And though they sell the products at a higher price to the retailer, they usually still give the retailer a similar discount that they received from the manufacturer.
A wholesaler may offer a variety of products or focus on just one product or a certain niche. It may be convenient for a retailer to get certain products from one source—the wholesaler—which is one other reason a retailer might buy from a wholesaler and not directly from the manufacturer.
Wholesalers can also sell competing products because they aren’t the same as an official distributor for a brand. Therefore, they aren’t directly connected to company’s products and don’t usually provide product support.
At Clarity, our goal is to help you grow your business. That’s why we offer a free discovery session, no strings attached. Click the button below to sign up.