Unlock New Sales Opportunities with Wholesale Ecommerce
Discover how to tap into the lucrative wholesale market and streamline your ecommerce business by embracing B2B sales channels. This article unveils the secrets to running a profitable wholesale business, navigating the $12.3 trillion industry, and offers tips for sourcing items and setting up your store for wholesale success.
Bottom Line: If you’re an ecommerce business owner or manager, this article offers the knowledge and tools needed to expand your sales channels, reach new customers, and grow your business through wholesale ecommerce.
What is Wholesale in Business?
Wholesale involves selling products in bulk to retailers at a discounted price, who then sell the products to their customers at a marked-up cost. By creating a B2B sector for your online business, you can still directly sell your products to end consumers.
Redefining Wholesale in the Digital Era
Wholesale initially conjures images of large brick-and-mortar department stores, but the landscape has transformed thanks to B2B marketplaces like Alibaba, Faire, and Handshake. These platforms enable both large and small businesses to adapt and offer streamlined, convenient shopping experiences, meeting buyers’ desires for variety and efficiency.
Popular Wholesale Business Examples
To join the successful ranks of wholesale businesses, consider the following popular examples:
- Handshake – a B2B marketplace powered by Shopify connecting wholesale suppliers and retailers.
- Faire – a wholesale marketplace operating in Europe and North America, offering over 60,000 independent brands.
- Alibaba and AliExpress – the dominant online marketplace in China, with Alibaba catering to B2B buyers and AliExpress catering to B2C customers.
- Salehoo – a New Zealand-based wholesale marketplace with more than 8,000 suppliers.
- Tundra – a zero-fee wholesale marketplace with over 10,000 brands as suppliers.
- TradeGala – a London-based wholesale marketplace focused on fashion brands.
- IndiaMART – a free wholesale marketplace based in India.
- eWorldTrade – a US-based wholesale marketplace with thousands of suppliers.
How to Start a Wholesale Business Online
Starting a wholesale business requires several steps, including:
- Decide what wholesale items to sell: Opt for a diverse product range that caters to customers’ needs.
- Set a wholesale pricing strategy: Aim for a balance between profit margins and appealing discounts to maintain healthy supplier-retailer relationships.
- Create a B2B ecommerce site: Whether you’re selling through your own platform or opt for Shopify, ensure your online store tailors to the B2B market.
- Accept payments for wholesale orders: Offer a variety of payment options and capacity for bulk purchases.
- Sell your wholesale products: Promote your products through multiple channels, such as social media, marketplaces, and trade shows, to reach wider audiences and attract more customers.
Is a Wholesale Business Profitable?
A wholesale business model can be profitable by increasing sales without raising marketing spend, leveraging other brands’ audiences, and entering new markets with reduced risk. By partnering with established brands and adopting efficient pricing strategies, your wholesale business can thrive in the competitive ecommerce landscape.
Get Started with Wholesale Ecommerce Today
Wholesale ecommerce presents direct-to-consumer brands and entrepreneurs with new sales channels and revenue-generating opportunities. By leveraging the right pricing strategy and knowledge of the wholesale landscape, you can accelerate your business growth and reach new heights in today’s online marketplace.