Hello,

I work for a small business. I am in charge of taking a business to business company and expanding it to a business to consumer company as well. We are developing our consumer line of products and are also developing our e-commerce site.

I have already had three companies approach me about wholesale opportunities. This is great! The problem lies in I have never done this before. The information I have found on the Internet has been less than helpful.

Does anyone have any guidance where I can research typical pricing strategies for wholesale? What types of items need to be included in the agreement? Can I still have my logo on the items sold or do I have to take them off? What else do I need to be considering?

Sorry for all the questions. This topic seems like a big secret on the Internet.

Thanks in advance for any assistance you can provide.

Hi,

The reason you are having trouble finding information is that there isn't a one size fits all answer to pricing wholesale, retail, e-commerce, etc.

You will need to take a look at your retail price point vs your costs to produce/purchase the items. Your wholesale price should be less than your retail price so your wholesalers can make a profit (usually 15 - 50 percent, sometimes more). If they don't see a large enough margin they won't buy from you, obviously.

On the other hand, you need enough margin between your cost and your wholesale price to make a profit. How much profit? I think this is where we started.

Your logo can absolutely be on the product. Take a look at Nike, Kellogs, Toshiba, etc.

For help with your agreement and your wholesale procedures you may want to Google dealership opportunities. You want to look within the industry you are in. For example, if I were making saddles, I would search for tack dealership or tack wholesalers. Most of their web sites contain an application as well as the dos and don'ts. Be careful of copyrights, however.

Please feel free to ask additional questions. I am happy to help.

Suzette
*****
http://www.FlemmingBusinessServices.com
Saving You Money - Increasing Your Bottom Line

Thank you very much for your reply, I appreciate it!

I am glad to have found some confirmation on the logo question. I had looked into Nike; however, the info on their website was regarding Affiliates. I wasn't sure if the "logo rules" differed from Wholesale agreements and Affiliate agreements.

Thanks for the items to consider regarding pricing and other items to search. I had not searched by "dealership opportunities" or anything similar to those words yet. I have been focusing on "wholesale" and most of the combinations that go along with it.

Thanks again & Have a Great Day!
Kari

Kari,

The logo issue is only determined by you and what you intend to do. If you want to build your own brand then you use your logo EVERYWHERE, but you might also get requests for private labeling. This is where your product either exactly as you produce it, or with slight modifications is packaged under another company's label.

It takes a lot of money to establish a brand within any industry so don't be put off if a retailer comes to you and asks you to private label for them. Yeah, it's not building your brand but in the end you may sell a heck of a lot more product which in the end should be your goal. A great brand without sales is worthless. On the other hand, if you're selling $10 million worth of product as someone elses brand, who cares...while your ego may be taking a beating, your bank account isn't.
Good luck

Denny

For pricing help go down under this room to the topic "pricing"...I posted an example of wholesale pricing...I think it's #12 on the reply list.

Denny

Thanks for both replies!

Good food for thought on the branding issue. I did review your pricing example as well. I have printed this off and will also keep this in mind as we fine tune our pricing for both wholesale and retail.

Have a Great Day!

Sorry for the CAPS but I am trying to make a point.

DO NOT USE DOBA THEY A BIG RIP OFF. DO NOT EVEN BOTHER. THEIR PRODUCT ARE ALWAYS ABOVE MARKET PRICE. THEY ARE ALSO ALWAYS OUT OF PRODUCT THAT SEEM TO BE A GOOD DEAL. DO NOT EVEN DO THEIR TRIAL STUFF. IT IS A WASTE OF YOUR MONEY


I have tried DOBA and I can tell you they a scam/rip off. Fortunately I did only six months membership and it took me only 2 - 3 days to find out that I just wasted my money


Go to this site

http://www.ripoffreport.com/

and then type DOBA as a search word. Read what other people have gone through

What type of product are you trying to sell?

>What type of product are you trying to sell?


Photo products

Hi there,

I am from ASIA...I do outsourcing here for one company from States.
They are running the simlar business like you and we have been doing great worktogather...so far we are dealing the 3 orders of handbags quantity 90K for each item....and more otehr projects coming such as bedding, fashion accessories...of course there are more items coming...

If you are interested , please contact me for the further discussion..
vanessa.lin@gmail.com