When selling retail products the key is to buy different products in small quantities. This way you give your clients a variety of items to choose from. Some things will sell faster than others but this is OK.
Pros of selling Retail
- Number one thing is customer satisfaction face to face. You are able to see your customer’s reaction to the products, price, condition etc… These reactions will help you determine if there is anything you want to change or make better in your store.
- Since no two clients are the same they will not like the same things. Buying small quantities and having lots of items to choose from is great because if they don’t want one item they will be sure to like another. Customers like having choices and options to choose from.
- These types of business can be started with a small amount of capital. Since everything here is bought by product than you will know exactly how much things will cost. Once you pass your budget you can stop but you will still have lots of products to sell.
- Immediate cash, you sell something and get paid rite away and your customer receives what they need rite away; it’s a win win situation.
- You can sell products depending on the time of year. For example rite now you go to any store and they will have costumes, Halloween decorations and some of them even have Christmas trees.
Cons of selling Retail
- A retail business can be started with a small amount of capital but a REASONABLE small amount. You will win depending on your investment.
- If you don’t study carefully what products you will be buying and to what audiences you will be selling than there is a slight possibility that not all you products will sell.
- Retail business require an actual store and place to sell, they also included schedules that let your customers know from what time to what time you will definitely be there.
Wholesale is the opposite of retail it starts out with a small range of products but in large quantities. Wholesale may included having less customers but the benefit is that the customers you do have will buy a lot more than a retail customer.
Pros of Selling Wholesale
- Make profits much faster by selling in larger quantities.
- Calculating the price of an item bought wholesale will be much cheaper than that same item bought retail.
- Products available whenever the customer needs them. Only until the very end will you run out of a product.
- If you give goof prices you will gain loyal customers that will go back to you and keep going back to you every time they need that product.
- Like retail stores you can sell products depending on the time of year and at a much affordable price. For example in rite now you go to any store and they will have costumes, Halloween decorations and some of them even have Christmas trees.
Cons of Selling Wholesale
- You must be sure of the products you will be selling. They have to be the latest, most wanted items if not there is a chance that they will rarely get bought.
- You need to constantly be on the lookout for new products and deals.
- You have to have a minimum amount order. People are not free to buy as much as they want or spend as much as they want. In order for a wholesaler to have the prices they have need to sell a minimum amount of the product to get some benefit from it.