Top 10 Differences between Wholesalers and Retailers
Top 10 Differences between Wholesalers and Retailers
The following are some of the differences between Wholesalers and Retailers.
| Wholesalers | Retailers |
|---|---|
| 1. Wholesalers buy from the manufactures and sell goods to the retailers. | Retailers buy from the wholesalers and sell goods to the consumers. |
| 2. Wholesalers usually sell on credit to the retailers. | Retailers usually sell for cash. |
| 3. They specialise in a particular product. | They deal in different kinds of goods. |
| 4. They buy in bulk quantities from the manufacturers and sell in small quantities to the retailers. | They buy in small quantities from the wholesalers and sell in smaller quantities to the ultimate consumers. |
| 5. Wholesalers always deliver goods at the doorstep of the retailers. | Retailers usually sell at their shops. They provide door delivery only at the request of the consumers. |
| 6. A wholesaler needs mainly a godown to stock the goods he handles. | A retailer needs a shop or a showroom to sell. |
| 7. A wholesaler goes to different places to supply. | A retailer usually sells at a particular place. Sometime he may have branches in other places. |
| 8. A wholesaler need not provide shopping comforts like luxurious, interiors, provision of air-condition, trolleys, etc. | A retailer usually provides shopping comforts mainly to attract customers. |
| 9. As the wholesaler specialises in a particular pmduct, he has to necessarily convince the retailers about the product quality. Only then the latter will place an order. | As the retailer deals in a variety of goods, he need not influence buyers. He can let the buyer choose any brand of product the he likes. |
| 10. As per the custom of their trade, wholesalers allow the retailers trade discount each time the retailers buy. | The retailers normally do not allow any discount to their customers. Some of them may offer cash discount to bulk buyers. Sometimes, they may offer seasonal discounts. |
