B2B Wholesale: Everything you need to know as a wholesale business in 2024.

The process of selling wholesale entails selling products in bulk to other businesses. Business-to-business (B2B) wholesale involves selling products in large quantities to other businesses, which then resell them to the end consumers.

The business buying from a wholesale company may use the products for various reasons such as internal company use, or most commonly business will sell through other businesses or directly to consumers in a smaller quantity and at a higher price. Business to business transactions generally have a higher-order value, longer sales cycle, and more reoccurring purchases.

What are the primary differences between wholesale and retail?

The primary difference between wholesale and retail is that wholesale companies sell products in bulk, and retail companies sell products directly to the consumer at a retail price. Additionally, when selling via wholesale, goods can be sold to varied outlets; whether this be “Big Box” companies a term used to describe a large store such as supermarkets that sell a lot of various products or directly to customers allowing for a large customer base. Whereas Retail stores have more of a targeted audience. Retail companies have full control of their production and distribution system.

What is B2B Wholesale?

Business-to-business is a business model whereby transactional sales are established to other businesses rather than to a consumer/individual. Selling wholesale involves offering products in bulk at discounted rates to retailers, wholesalers, distributors, or other businesses for the purpose of resale at a markup and occasionally the products can be purchased for internal use.  

Wholesale platforms and how they work.

A wholesale platform is whereby a business sells goods to other businesses through an online ordering platform to other businesses.

What is the difference between B2C and B2B?

When you are online shopping for personal goods in that you search for a good and buy It for personal use then this is interacting through a B2C business model. B2C businesses in most cases do not offer bulk products in large quantities. B2B websites require different functionalities to B2C websites in that most cases you will be required to create a trade account/membership and prices will include additional VAT on top. Additionally, many B2B wholesale websites will have a minimum order quantity that will need to be met before goods can ship.

What are the benefits of buying from an online Wholesale supplier?

Pre-pandemic, consumers and businesses alike became accustomed to ordering online. As this increasingly become the new norm, not only are consumers (B2C) looking to place orders online, but businesses now too are expecting a seamless and quick ordering portal for their business.

Historically, Wholesale companies would only order through sales reps and account managers via email or phone. However, in doing so in today’s day and age there is a missed opportunity. Here we advise on the benefits of a wholesale company taking their business online.

• Enter new markets.
• Automated manual processes.
• Improves buyer experience and convenience.
• Allows you to scale business operations.
• Engage with buyers 24/7.
• No limitation on space and information - bridges the information gap that customers have when in the decision process.

What are the key trends in 2024 to look out for.

Digital transformation

Automation

Sustainability

Supply chain resilience.

Personalisation

Globalisation

How to find wholesale suppliers for your B2B business.

Online research

Initial research is required when in the decision process of choosing a wholesale supplier as they need to be able to fulfil your business requirements whether that be through their minimum order quantity (MOQ) their shipping terms, their product range and how this matches your business product portfolio and the level of customer service they can provide.

Expand your network.

Through digital platforms such as Linkeldn you can find and analyse potential wholesale suppliers in the lead up to choosing one to partner with. Attending industry trade shows such as the Springfair for non-food goods is also a way to meet suppliers and experience in situ what they have to offer and if this meets your business requirements.

Recommendations and referrals

Word of mouth is one of the strongest forms of marketing and you can trust that if someone has experienced firsthand how working with a company has benefited them then they whilst working with them you should also experience this from the same company.

Buying wholesale allows a retailer to allocate resources to efficiently buying products rather than having to maintain and establish relationships for all the different products that they buy. What’s more, ordering through a wholesale supplier that operates digitally allows for everything to be done digitally.

When is the right time to start buying wholesale products?

There isn’t a set rule to advise that you should start selling wholesale products. However, many business-to-business wholesalers will, as a rule of thumb, try to secure stock 6 months in advance of the season. Here at Gem imports we offer Pre-order on many of our seasonal ranges such as Christmas and Halloween.

How to find the right wholesale suppliers and retailers?

Online research

Brand labels and prominence

Network.

What are the challenges that businesses face in B2b wholesale?

Wholesalers must maintain operational efficiency whilst facing daily challenges such as managing complex relationships with customers.

The digital landscape has evolved drastically over the past few years, as such the level of competition within the industry is rife. Offering a competitive advantage such as quick delivery and turnaround times can set you apart in the industry.

Attending Wholesale Trade Shows –

Attending wholesale trade shows is a great way to showcase your work and meet potential customers. By attending trade shows you can meet prospective clients, obtain vital information, and understand your target audience in a live setting. There are many systems in place whereby you can digitalize records and start communication straight away.

Where to sell my wholesale products?

Traditionally b2b businesses would operate solely through account managers, however there are now many different avenues in which you can sell your stock, whether this be through retail, online marketplaces such as Amazon or through your own ecommerce site.

The B2B wholesale landscape is continuously evolving with advancements in technology, shifting market demands and global economic changes.

Gem imports are the leading UK importer of seasonal and every day SKU's. With over 4500+products. Register today, or get in contact to discuss more.