To understand the advantages of wholesale marketing you should first have a clear idea about the concept of wholesale marketing. In wholesale marketing the producer or the manufacturer of the item will directly sell their product to the company. These companies then have an option of directly offloading the product in the retail market or sell the same as their own brand. There are a number of advantages to wholesale marketing. We shall have a brief insight into 6 such advantages of wholesale marketing.

1. Money savings can result in money generation:

AS a wholesaler, you will have to buy the products in bulk. This will entitle you to large discounts. You will be dealing directly with the producer or manufacturer without the involvement of a middleman. As you can purchase at the manufacturer’s price, you will be able to save on the fees you may have to pay to the middleman. The only hitch is that you may have to purchase in bulk. However, you can use the large network below you to dispose the products faster. Thus, money saved is money gained.

2. Creation and propagation of your own brand:

One advantage of being a wholesale marketing professional is that you can procure your product in bulk, create your own brand and promote it to the best of your ability. If necessary, you can add some value to the goods. Many large sale chains do not produce and manufacture any product at all. They only affix their name on the product and market them on the manufacturer’s behalf. In this way you can promote your brand and make it a strong one.

3. Familiarization with the industry:

In this case, you deal directly with the producer. Thus, you will be aware of the market forces at play. You will come to know the path of each product. You can plan accordingly and can even end up as a manufacturer yourself.

4. Building a supply network:

As a wholesale dealer, you will naturally be in contact with various manufacturers. In this way you can build up a series of affiliates. You also get the opportunity to mingle with the affiliates having an established wholesale business. You have the perfect ground to bargain for more discounts. In this way you can augment your sales as well as your profits.

5. Diversification:

Wholesale marketing is an important step where you can learn to diversify into various trading activities. You are the link between the producer and the retail market. You know the pulse of both the producer as well as the retail market. This will hold you in good stead when you wish to diversify.

6. Provide access to products:

Usually people buy products in small quantities. They may not be able to purchase it directly from the producers or manufacturers. You can serve as a perfect link in your wholesale marketing strategy. You will be able to purchase in bulk and sell individual items making a neat profit in the bargain. At the same time you are beneficial to the manufacturers too as they do not have to explain the advantages to each buyer.
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