Wholesale = the sale of goods to retailers and other professional business users. In contrast to retail, where you sell direct to the customer.
At TSBC a large focus of our conversations are about selling wholesale. We talk about preparing your products for the wholesale market, but what exactly does that mean? Wholesale is when you sell your products to retailers or business owners, who then resell it to the general public. If you design greeting cards, for example, this would mean you sell your cards to retail shops and they can then sell it in their stores or online shops. This is different than you selling directly to a customer through your own website.
Selling wholesale and selling retail require very different go-to market strategies, sales tools and marketing techniques. And, if you sell wholesale and also sell your products through an online shop (your online or etsy shop), you have to be very careful about how your wholesale and retail strategies overlap. For example, your pricing in your retail shop needs to be at least twice your wholesale pricing to avoid under cutting the retailers that you wholesale too.
You don’t need to sell wholesale to have a successful business in the stationery industry. However, having multiple revenue streams can increase the stability of your business. Other benefits to wholesaling include increased visibility for your products, access to customers who may not have otherwise known about you and potentially higher volume of sales.
What questions do you have about wholesaling? Leave us a comment!