Wholesale vs Retail
What is actually difference between Retailers and Wholesalers?
Ever wonder what’s the difference between the two business models of wholesale and retail? Well now is the time to find out. The question you have to think about is what is the end goal? Who am I selling to? Who is buying my products?
Shall we dive deeper?
Let’s start by taking a look at the wholesale market. To put simply, in a wholesale business model you are selling directly to businesses, commonly known as ‘B2B – Business to Business’. Wholesalers sell products in bulk/large quantities to other businesses and retailers. Whereas in retail you are selling directly to the public also known as ‘B2C – Business to Consumers’. The product is sold to consumers with the purpose being the end product for consumption by the end user.
Generally, retailers are able to sell the goods for a higher price compared to the price they purchased it from the wholesaler. Wholesalers offer lower prices as they sell their goods in bulk, permitting retailers to sell the same products at higher prices by adding a markup and therefore making a profit.
A usual misconception of buying from a wholesaler is that you have to be a large business. But that is far from the truth. As long as you can provide evidence that you intend to use the goods for business or trade use such as buying and selling, then that is more than enough and you are considered a ‘trader’. Wholesalers generally are ‘trade only’ by nature to help distinguish themselves from everyday retail stores. Most wholesalers will include stipulations such as a ‘minimum order quantity’ or ‘minimum spend’ as margins are much lower compared to retail stores, so wholesalers rely on selling large volumes to make up for this.
Who we are?
At Rysons we trade as a B2B in other word we are a wholesale supplier. With a range of products to browse from such as Pound lines, Home Essential, Housewares, Electronics, Stationery, Toys, Tools, Gardening, Gifts, Gadgets and Pet Products. We supply many retaliters and shops such as pound shops, discount stores, cash & carries, online stores, and many more.
We aim to provide the highest quality of goods at the most competitive prices, whilst also delivering the best possible service to our customers.
