Back to Glossary

Wholesale

What Is Wholesale?

Wholesale eCommerce involves the selling of merchandise in masses to another online business, usually at a discounted price, compared to selling directly to the consumer. Typically, you buy merchandise from manufacturers and resell them to online retailers, who can repackage or rebrand them before selling to the end-user. 

How B2B Wholesale Works

In order to know how to buy wholesale to resell, it will help you understand how the process works from the start to the finish. A wholesaler approaches manufacturers and buys merchandise in masses, usually at a lower price because they are not yet packaged.

The wholesaler will then market these merchandise to other retailers and sell them at discounted rates. The online retailer will then sell to the end-user at a relatively higher price. However, it’s worth noting that wholesalers can still produce products in small quantities for consumers.

TOP B2B Wholesale Marketplaces

If you already know where to buy wholesale products, you’d also want to know the right marketplace for reaching out to the end-user. Here are the top 5 B2B wholesale marketplaces:

Amazon

This marketplace allows wholesalers to buy from thousands of manufacturers and resell to consumers. The platform is easy to use as it only works with established brands that have an existing demand.

Alibaba

Alibaba features manufacturers that produce at lower costs, hence able to sell to wholesalers at relatively affordable rates. Moreover, the marketplace gives wholesalers greater control over final product packaging.

Rakuten

Wholesalers who buy from manufacturers on the Rakuten marketplace have the ultimate control of their storefront design, product page design, or even customer experience. In other words, you buy and sell as you want.

GlobalSources

This platform exists as an app, which connects global wholesalers to Chinese manufacturers and other reputable B2B vendors. Wholesalers can then buy from these people at discounted prices before reselling the products.

TradeKey

TradeKey has over 9 million global members, making it one of the most active B2B wholesale platforms in the industry.

What’s The Difference Between Wholesale And Retail?

As mentioned earlier, a wholesale transaction deals with online stores — selling merchandise to online retailers at a discounted price. On the other hand, a retail transaction involves selling merchandise directly to the end-user, usually in small quantities.

What Is The Average Wholesale To Retail Markup?

The average wholesale to retail markup for many brands is about 30% to 50%. Profit margins within this range are considered sustainable since the merchandise are usually sold in masses.

 

Frequently Asked Questions About Wholesale

How to buy wholesale to resell?

As a wholesaler, you have two options, of either working with a local or overseas manufacturer. After that, you can test and verify the manufactured products before marketing the same to retailers in your region.

How to start a clothing business with buying wholesale?

Here is the process:

  • Prepare legal documentation for your business;
  • Find a suitable clothing niche;
  • Get in touch with a supplier;
  • Place your first order.

What is wholesale price?

Wholesale price is a price tag for a product when sold in masses, usually to an online wholesaler.

Where to buy wholesale products?

Are you looking for where to buy wholesale products? A good B2B wholesale platform, such as AmazonBusiness or Alibaba will connect you to thousands of business-ready manufacturers.

You May Also Like

Why Is PIM Important?
7 min read
Product Information Management

7 Reasons PIM Software Is Needed For eCommerce In 2022

Read about the importance of PIM software for eCommerce businesses and for guaranteeing a smooth customer experience.

Read more
Back To School Sales Tips
9 min read
eCommerce Strategy

TOP 5 Back To School Sales Hacks To Increase Sales

Getting ready for the back to school sales can be difficult, but Gepard PIM's software can really take the stress out of routine work with product content.

Read more
What Are Some Product Fulfillment Hacks?
7 min read
eCommerce Strategy

7 Product Fulfillment Hacks That eCommerce Owners Should Apply In 2022

Explore the best product fulfillment tips for eCommerce store owners to meet customer expectations and grow your business.

Read more
Why Use Multiple Taxonomies?
9 min read
Product Information Management

Employ Multiple Product Taxonomies: The Key To eCommerce Success

Find out how employing multiple taxonomies can boost your team's productivity, help you stay ahead of the competition, and so much more.

Read more
eCommerce Video Marketing
7 min read
eCommerce Strategy

7 Best Examples Of eCommerce Product Video Marketing

Read about the importance and benefits of product video marketing for online sales, and learn the best practices from famous brands.

Read more
Dan Taylor SEO
5 min read
Expert Opinion

Expert Interview: Maximize The Value Of Your PIM Asset For eCommerce Website SEO

How to boost your eCommerce website SEO and enhance your sales and shopping experience with the help of PIM? Read on to find out.

Read more
Can Amazon Sell NFT?
11 min read
Insights / Trends

Amazon NFT: The Future Or Fiction?

Will NFTs change the conventional investment approaches? By discussing the Amazon NFT perspectives, the article explores how NFTs work and how to benefit from them.

Read more
How To Reduce Customer Churn?
7 min read
eCommerce Strategy

How To Reduce Customer Churn And Improve Customer Retention Rate

How do you prevent customer churn and retain more consumers? Learn more about the churn metric and ways of keeping more people in your client base.

Read more
eCommerce Strategies For Uncertainty Times
8 min read
eCommerce Strategy

The Best eCommerce Strategies In Times Of Uncertainty

Learn how your online company can survive in the precarious times of uncertainty by revamping its eCommerce strategies and leveraging specialized software.

Read more

Let’s Get In Touch

Need to contact us? Just use this form

Gepard Privacy Policy
Success