MOQ – Also known as Minimum Order Quantities, or the number of items per sku / style that a retailer must purchase when placing a wholesale order. Imperative to include with your wholesale terms & conditions.
When you’re determining your wholesale terms & conditions, you want to set a minimum order quantity for each product category you sell. Minimum order quantities, or MOQ, tells buyers how many of each SKU they need to purchase when placing an order. And, this will vary from product category to product category.
Some things you want to consider when determining your MOQ:
- Adhere to industry standards. In the stationery world, greeting cards are sold in MOQs of 6 or 12. Gift wrap is typically 12 or 24 sheets minimum.
- Consider merchandising needs of your retailers. Your products will look better on the shelves when there is a good selection. One isolated candle, bag or notebook on a shelf may look like an outlier, so setting MOQs helps retailers display your products in the best possible way.
- Think practically. Sometimes setting your MOQ boils down to something as simple as what is the most efficient way to ship your product to retail stores. For example, if you can fit 4 mugs snuggly in your shipping box so that they securely get to your retailer, an MOQ of 4 would make more sense than an MOQ of 5. Don’t make things more difficult than you need to!