Do you want to start your own business and enter the world of wholesale? Great choice! But before you do so, check these 3 myths about wholesale to avoid beginner mistakes.
The myth about wholesale #1: Follow your gut
You know what people want, and your family and friends agree with you. We often let ourselves get carried away by the small bubbles we live in. It doesn’t matter what you like or think (or your close ones). The customers are the ones who are always right, so you better listen to them. Do some research about the current trends. If you have an opportunity to sell something new or special, find out who your customers could be and if they are interested in it. Just don’t follow your gut. Follow the demand! Otherwise, you will be up for a huge loss.
The myth about wholesale #2: Doing everything online is enough
You can do everything from the comfort of your home nowadays. Find suppliers, buy from them, and sell to your customers. But so can everyone else. How do you want to differ from your competition and be profitable? Look into your offline surroundings and offer something more. There might be a business in your city or region that is just looking for ways to expand its markets. Build up personal relationships with suppliers to get the best prices or contact manufacturers to get some niche products.
The myth about wholesale #3: Wholesale price is the best price
Probably everyone agrees that pricing research is important, but many neglect it anyway. Yes, it can take a lot of time, but remember, competition is stiff, and the price is often the deciding factor. On the other hand, manufacturers and distributors are also under pressure from competition and willing to offer better prices. But how to know whether the deal is good or not? It isn’t enough to know the average price, you need to know your profit margin and whether you can compete with others while staying in the green.
Wholesale doesn’t always mean huge profits for very little investment. It’s much more, and not only in case when exporting to the countries outside of the EU. Are you ready to begin your wholesale journey?