For retailers, buying wholesale is part of the job. The title to this article then might seem a little basic. For sure, if you’ve never thought about it then you’re probably not a retailer. Buying wholesale is simply what retailers do.
However, doing it well is quite another matter and there is a definite way to optimize the process. That, however, depends on so much – what type of retailer you are, what can be appropriately stocked at your outlet, what the most profitable products to sell will be, how you wish to expand your inventory, and whether you run an eCommerce site or a physical outlet, and so on. There are simply loads to consider and, chances are, your current wholesale purchase strategy can certainly be improved, streamlined, and optimized.
Most retailers will never make their own products, instead purchasing them from wholesalers. This is simply how this particular business model works. If you run a retail outlet, you will have inventory and that inventory will need to be replenished. To take a hypothetical example, your bulk-purchased confectionary might fly off the shelves a lot faster than your wholesale sunglasses. This means that you are going to be making repeat orders more often for the candy than the sunglasses. It is also more than likely that it will be a different wholesaler supplying the sunglasses compared to the chocolate. Accordingly, you need to manage numerous repeat orders, from multiple wholesalers. You can see how complicated the business can get, as well as why many (even successful) retailers can always improve the efficiency of their operations.
So, to come up with a winning wholesale purchasing strategy, it is perhaps best to break down several things to consider.
Table of Contents
What Should I Sell?
Absolutely the first thing to consider is what you are actually going to sell – your whole wholesale purchasing strategy will be based upon this. This will be decided in a large part by what type of business you have. In most cases, you will have settled upon the products already. However, sunglasses wholesalers Olympic Eyewear say that they sell bulk sunglasses to many businesses with no expertise in this area, simply because sunglasses are a great item to have in any storefront or by the counter. Accordingly, you should certainly consider such “auxiliary products”, as they could turn into a profitable extra revenue stream.
What Makes a Good Wholesaler?
Another important thing to consider is which wholesaler to go with. There will usually be a plethora of wholesalers selling the same products, so you’ll need to make an informed choice. Naturally, the quality of the products themselves is the most important thing, but you will also need to ensure that the wholesaler can respond to fluctuations in demand. A responsive and communicative wholesaler is therefore the other thing you should prioritize. The final thing a wholesaler should offer is value, so be sure to crunch the numbers and compare between different wholesalers.
Delivery and Shipping
The final thing you’re going to want to work out is how the delivery of your product is going to work. Is it efficient and fast? Any time your products are out of stock at your outlet is money down the drain. Therefore, you want the products fast – and at short notice when necessary.
Bottom Line
This is the way to approach selecting a top wholesaler and top wholesale products for your retail outlets. Few outlets sell one thing and from one supplier, so there is much to consider. By approaching things methodically and settling on a plan before proceeding, you can operate not just successfully but optimally as well.