Why is it Always Cheaper From Wholesale Clothing Distributors Than a Retailer?

A BRIEF ON CLOTHES

Most of us are clothes savvy and we all love going on those weekend shopping to satisfy our titillation’s. Now it is important one wears the right clothes for various occasions and even more important that you buy them from the right place, keeping in mind the way they fit you, the design and of course the pricing. I was initially under the impression that quality is something which sets apart the branded from the non branded clothing, but with increasing number of manufacturers and new designers sprouting each year, quality is definitely not just restricted to the branded manufacturers.

A LITTLE ABOUT PRICING

Now, all of us are money conscious and we sometimes go to the extent of choosing a lesser quality product or simpler clothing just because it is available for a far cheaper price than the niche garment which carries a heavy price tag. On an average a common man is unaware of the intricacies of the clothing business and hence, I believe spends more on a garment than what it might cost elsewhere like a wholesale store at the outskirts of the city which is miles away from where we stay.

HOW WHOLESALE DEALERS WORK

So let us now understand why the wholesale distributors sell the same garment to you for a price which might be about 30 to 50% lesser than what you find in a retail store. A wholesale dealer gets his products directly from the manufacturer in bulk, hence availing large discounts which in turn reflect on the prices of the clothes we buy from there. On the contrary, a retailer does not buy merchandise in such huge numbers in most cases and also has issues like the membership or retail license which takes a huge chunk of money reflecting in the form of increased price.

Another major reason why the retail prices are hiked, sometimes to the extent of 80 or 90% is because they buy most of their products from the wholesaler. Also the fundamental formulae implied for selling an object wholesale and retail are different. A wholesale dealer earns his profits by selling more number of pieces while the retailer earns them by a sheer increase in the price of each piece, by making the availability of the goods more convenient to you, as in a next door shop. A retailer also has to deal with the cost of transportation and handling for his various outlets also which add to the price.

CONSIDERING ALTERNATIVES

Apart from the wholesale and retail models, there are several other types of business models like the branded stores, department stores, discount stores each with their set of guidelines and rules of selling merchandise. Considering that your may get a huge discount, one may love to buy from the wholesale dealer, but for those of you who hate going all the way to one, look for those websites which have tie ups or sell the same clothes for similar prices. Why be hasty when you can plan and get the best deals.

Find Wholesale Distributors through Retail Industry Associations

In today’s installment of “Proven Techniques that Top Retailers Use to Connect with REAL Wholesalers” we’re going to discuss possibly the most valuable resource for finding wholesale suppliers (as well as for receiving many other incidental benefits) – the Retail Industry Association. Now, I look for wholesalers in a lot of different places. Some require more work than others, and some will seem almost like common sense when you learn them. The point here is that finding real wholesale suppliers is not difficult, and anyone can do it themselves for free if they have patience, a little bit of industry knowledge, and their willing to search in many different locations.

Before you can locate the best wholesalers, you need knowledge of your industry, be it clothing, consumer electronics, auto parts, or any of a number of consumer goods categories. For this reason, I feel that the best place to get started in your supplier search is to join Retail Industry Associations – especially ones that deal with your specific niche. These groups will often give you access to directories of suppliers within the industry. If they don’t, it is easy to network with other members of the association to locate suppliers within the industry. And there are so many associations out there – from large general retail associations to smaller niche-specific ones.

Finding retail industry associations is very easy. Simply do a Google search for:

Retail Industry Associations
Retail Industry Organizations
Retail Industry Associations for Consumer Electronics, Jewelry, any specific niche
Retail Industry Organizations for Consumer Electronics, Jewelry, any specific niche

The reason that I recommend retail industry associations first is that they offer so much more to their members than just wholesale sources. The biggest advantage, even more so than connecting with wholesale distributors, is access to education. Retail industry associations often hold seminars and conventions, or they will keep you abreast of other organizations that are holding seminars and conventions. (By the way, conventions are another place where you can hook up with wholesalers.)

Retail industry associations will keep you on top of the latest news from within your industry. It is very important to keep up to date with what is going on in your industry, or else you may get left in the dust as your competitors pass you by. You will often receive valuable tips and tricks to improve your profits, and we could all use a little more profit, couldn’t we?

Finally, many of these organizations are great places to network with other business owners in your industry. It will give you a chance to meet new people with similar interests, but more imporant, there’s a great chance that you can get some support from business owners with more experience than you. Access to support is something that new business owners need more than anything, and this reason alone is enough reason to get involved with a retail industry association.