When you plan to start a new retail business, the first thing that you need to decide upon is where to get your products from. Most of the retailers that we see around do not make their own merchandise. Rather, they get it from the wholesalers.
Not only wholesalers are a great source to supply merchandise but they happen to be really flexible and helpful when your business grows.
You may find buying wholesale really intimidating at first, but we will share some tips to get your job done, easily.
What do we mean by buying wholesale?
When you buy merchandise, from a wholesaler, you are getting the products from middlemen, i.e. from someone between your retail store and the manufacturer. Wholesale goods are produced in bulk, meaning you would get them at discounted prices. The products are then tagged at a higher price, keeping a profit margin for the retailer. The customers buy the goods at this retailer price or MRP (maximum retail price).
For example, if you are planning to open a specialized clothing store, say a store selling gothic and alternative clothing, you would require a destination for wholesale gothic clothing. There are a number of wholesale clothing suppliers that will help you buy clothes of your choice, to set up your dream retail clothing store.
Now comes the handy guide that consists of everything you need to know about wholesalers and wholesaler buys.
First of all, how to choose the right wholesaler. You can easily contact your local chamber of commerce for some leads, or lookout for some business owners. You can also contact some rural self-help groups if you want to sell some handmade products.
Also, there are wholesalers available online, just a click away. If you are looking for wholesalers for ethnic clothing, definitely opt for Jordash Clothing, who has been a leader in wholesale ethnic clothing and gothic clothing for the last 30 years.
Secondly, shortlist the wholesalers you are interested in. Search for them on the internet and look up the reviews of other retailers. After you have shortlisted the wholesalers, make a list of a few questions, and ask them, before finalizing the one.
Thirdly, comes to the criteria that the wholesalers need to qualify. Depending on these answers you may choose the wholesaler you like.
- The products they sell: If you plan to sell a number of products then you can happily decide on a number of wholesalers, but if you plan to sell some unique specialized products, make sure you stick to one or two, to keep your brand identity intact.
- The price point: This definitely is an important point. You are buying from a wholesaler so that you get a lot of goods at a comparatively cheaper price so that you can sell it after keeping your profit margin. The market price needs to be checked, i.e. the rate of similar products sold by other retailers.
- Reliability and customer service: Going through the reviews of other retailers is your primary chance to shortlist the wholesalers. So, check if they are reliable to work with. Even if you decide on a particular wholesaler, do not buy a huge number of products at one go. Check the first lot of products very minutely and decide if these are the products you are looking for. The quality, color, size, stitches, overall look, and finish, everything matters. Also make sure they have friendly customer service, whom you can easily reach whenever needed.
- Product knowledge: Your wholesale partner should be knowledgeable about the products he is selling. He should be aware of the type of queries the customers may have. More so, if required he can also guide you about the market research, and new upcoming fashion trends. Wholesalers who cannot answer queries about products, should not be relied upon.
Now, that you have decided upon the wholesaler, you need to consider a few more factors.
- A checklist: A checklist to calculate what to buy and what not to buy. Also, the quantity and colour of your products. Liking a product is subjective. So, you may stock something that you like, and also something that others may like.
- Negotiation: It is okay to negotiate when the price of a particular product is not justified. Also, when required, let your wholesaler know that your business is doing good and he should expect more orders from you shortly.
Figuring out a wholesale supplier is of utmost importance for a retail business if you are not into production. Follow these easy steps in considering your wholesaler, and there’s no way to stop you from being successful!