What does it mean being a wholesaler?
Well, according to the United Nations Statistics Division, the term of “wholesale” defines the resale – meaning sale without transformation of the product – of new and used goods to retailers, to industrial, commercial, institutional or professional users, or to other wholesalers, or it involves acting as an agent or as a broker in buying merchandise for, or selling to, such persons or companies.
Generally speaking, wholesaling means the sale of goods to anyone other than a standard consumer. And what does this mean to our company?
It means that we can rarely sell a single unit of one of our products – respectively to one single customer – and that we, as every other wholesaler, expertise on bulk selling, meaning that we sell more than one unit per lot. And this bulk selling is made towards dealerships and such, generally big companies – business to business transactions – that are interested in more than one vehicle from our range of vehicles.
Why wholesaling and how does it benefit the buyer as well as the buyer’s customer?
First of all, we can’t deny the expanded consumer market potential – regarding geographical locations – provided by wholesaling. Also, the consumer purchasing power increases at the same time as a cash flow for the manufacturer is provided. Therefore we, the wholesaler, the middle man, have our business always open because of the balance made between the manufacturer and the final buyer.
Therefore, as a wholesaler, our company, our services can assure cost-effectiveness by reducing the number of producer contacts needed, a wider geographical access and diversity in obtaining the goods the customer needs, as well as minimizing buyer transportation costs by buying goods in larger quantities and distributing them in smaller amounts for resale.
As a business reference, wholesalers create utility through holding goods that can be drawn upon by buyers at a cost lower than direct exchange.
So, even though some might be unhappy by the fact that we rarely sell our products as a single unit and do much more of the bulk selling technique, this helps them get lower prices from the dealers we sell our products to, making the wholesaler, us, our buyer and our buyer’s buyer happy that they got the best price on the market.
Also, since the technological change is there and it is making amazing progress, regarding online selling and such, wholesaling is beginning to mean something more, as we can now manage via satellite tracking our fleet of delivery trucks, making sure that everything is going as planned as well as the use of integrated computer systems to manage inventory, distribution and, the most important, customer services.
Despite the technological advance that the internet has brought us, there is something that is not quite beneficial to the wholesaler, as a single company, that being the heightened international competition which means downward pressure on prices – but this competition also helps our expanding into new markets while keeping the costs under control, thus improving sales and profits overall.
Therefore, despite all of the negative effects of being a wholesaler, and with the help of all the beneficial ones, we assure you that you’ll get the best prices, even if you are a company that wants to buy from us, even though you are on single happy customer buying from one of the dealerships we supply.