Wholesale Questions

[speciallymadeby]

I see a lot of you guys wholesale and I kind of get the idea that wholesale pricing is approx. double your cost.... Here is my question....

How do you list the price on your site if you have one? Do you charge 4 times cost for the people who retail buy from you?

I was told a company won't buy unless they can mark up 100% - (they buy for $2 and sell for $4)

I was also told that you can't sell for less than what your wholesaler is selling for or they may be frustrated because their customers could come to you for cheaper???

I am SO CONFUSED!!!:undecided :undecided :undecided

[CallawayCandle]

Did you get a chance to read the wholesale 101 thread? loaded with info!! HTH Heather

[KristinesShower]

The 100% thing depends on the wholesaler. I actually have a wholesaler right now I am making candles for $5.00 each and they are selling them for $6.99...

on the other hand -

I have a wholesale customer that is buying the SAME candle from me for $5.00 and marking it up to $14.99.

All depends on the area I think as one is in the midwest while the other is on the east coast.

Sometimes wholesale is double your cost, but no one has to know your costs but you so you can charge whatever you want. If I would charge cost for my products, that would be bad business because you have to cover your overhead, taxes, payroll, supplies, etc & that can really put alot of $$$ on your cost.

Safest way to charge (I've found and practiced) is to see what everyone else is doing and either try to compete with that or stay below. Most of the time if your product is better than such and such, even though it is more expensive, they will almost always pick your product over the competitor. Customers don't mind paying a little more for better quality (well, my customers don't mind anyway!)

I have both retail and wholesale on my site as well as a link for crafters, home parties, gift basket wholesalers, etc & I've seen no slow down in either the retail or the wholesale, but I have seen a dramatic increase in wholesale sales since I've put them on the site side by side to the retail.

If you are wholesaling from a company and mark your products below theirs, that is their problem - not yours. A good sound wholesale agreement will cover that if they don't allow you to do that, but then you will also have the wholesaler that doesn't care what you mark it to - they are getting paid either way. I am in group #2 with this deal. Hey, as long as you are paying for the products, you can charge whatever you want for them (it's your business, not mine)