02, 2020 12.55PM / Sponsored Post by Anesley Liam / Header Image Credit: College Diploma
The goal of every company is to achieve market recognition and generate profit. This could not be different with businesses that conduct wholesale sales.
The wholesale distributor is gaining more and more importance in the market. However, to achieve positive results, a series of measures must be adopted throughout the sales process. It is necessary to have actions that range from marketing and advertising campaigns, to launching and delivering orders, for example.
Wholesale companies have their challenges. Let's present some.
Less customer volume than retail
Building customer loyalty is an essential step for business success. However, maintaining customer retention is only one of the obstacles for wholesale trade. Generally, a company that sells wholesale covers a smaller number of customers, but its average ticket of purchases made and the volume of orders placed are usually much higher than those ventures that chose to sell at retail. On the other hand, the retail trade has a large number of customers, however, the average ticket is much lower. The big challenge is to win more customers within this more restricted market and also to keep those who are already on the client list.
Longer sales cycle
The sales cycle of wholesale companies is much longer when compared to retailers. In this modality, there is the element of impulse and emotion that simplify the procedure. In wholesale, the deal is usually made between two companies. Because of this, there is greater seriousness and importance in that purchase, since it involves higher values â€‹â€‹and that commit part of the business budget. Thus, the buyer must be sure of the transaction to be carried out and must clearly and fairly justify the reason for that acquisition. Often, approval from higher sectors is required to make the purchase and demonstrate the benefits it will bring to the company.
Providing Personalized Service
As we have already said, the customers of a wholesale company are usually another company. The person responsible for the final decision on the purchase of new products has a great role and a lot of responsibility, since it is his duty to influence a large part of the company's financial flow. This factor means that he receives personalized treatment and exclusive service. Thus, as the transaction is differentiated, the guidelines must be as detailed as possible. Clear and objective information about the products that are purchased must be provided and a support team, for example, should be provided. Thus, the wholesale company must have a good orientation to be ready to provide all this differentiated experience, which, many times, may not happen.
Predictable and consistency in relationships
Minimum number of orders to be placed
Online wholesale companies can impose a minimum order limit, especially when the products offered are of low value. Thus, as the profit margin also tends to be lower, it will be necessary to adopt measures that make this purchase profitable, which is to bet on the sale of a large quantity of items at once. On the other hand, if the value of the goods available is high, there will be no latent need to impose a minimum limit on products to be sold in a single purchase.
Difficulty find specialized labor
Qualified labor is
contested by companies, so it is rare to see good professionals available on
the market. The technology has been used as an alternative to solve this lack
of specialized team in the wholesale distributor market.
As the sales stages of these companies are longer, it demands more organization and preparation, in order to be able to serve all consumers. Thus, it is true to say that there is greater complexity in purchases.
Each form of selling has its own character, and so is wholesale selling. However, if executed properly, this type of sale has enormous potential, even surpassing other types of sales.
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