Difference Between A Retailer And A Wholesaler

What is the best form of business when it comes to selling clothes? Well, aside from being the manufacturer yourself, which would need a lot of funding and a lot of talent, one could be the retailer or the wholesaler. So what is the difference between a retail clothing store from a wholesale clothing shop? Though their purpose is the same, which is selling clothes, the process in which the way they sell their clothes differs from each other. One of which is the type of their customers.

Customers

When it comes to customers, a retail clothing shop's target customers are very different from the wholesale clothing shop's customers. A retailer is usually the one responsible for distributing the stock to the buying market, or with the end consumers or customers. With a wholesale clothing shop, however, deals with other business entities such as exporters, retailers, and other wholesalers. They are the ones responsible in distributing their stock to a wide variety of retailers.

Business Process

The process in which a retailer and a wholesaler does their businesses is also different from each other. The typical business process of a retailer is to get their stock from either the manufacturer or from the wholesaler then sell it to the end consumer, a fairly easy task when one knows how to handle a business. But a retailers business is more on the hands-on part. This is because they cater to the end consumers which is very wide and vast in numbers. Usually, a small retail business consists of 3-5 people working from opening to closing. But sometimes, the number of customers exceed those they can accommodate which is sometimes, the owner must get on the business and talk with customers.

In a wholesale clothing business, the usual process involves talking to manufactures (though sometimes, manufacturers seek you out) and with the retailers. Professionals have stated that as a wholesaler, you work as the distributor of the merchandise the manufacturer have sent out. The wholesaler is responsible for overseeing the process of how the products would be distributed across the market and on the right market. This is usually done by having a contact of trusted and licensed retailers all over the area or the state. Practically, all the owner of a wholesaler has to do is to sit back and watch how the business is doing.

Profit

There is no doubt, a wholesale clothing business is much more profitable than retail. This is because a wholesaler usually sells their products on bulk, which in turn leads to much larger profit that a retailer does. But because of this, starting a wholesale clothing business is much more expensive and requires a lot of work compared with retailing which could start small from the streets.

Selling wholesale clothing apparel & urban wear for men, women and kids-sean john rocawear, makaveli, enyce, akademiks, ecko, and baby phat.