Choose a Wholesaler

How to Choose a Wholesaler for Your Online Business

Trying to Choose a wholesaler or wholesale supplier online is a crucial business decision that will impact your competitiveness on price, distribute products on time, provide the correct product selection to meet customer needs, and decide margins. As you’ll see, an eCommerce company is only as good as the wholesaler with whom it partners. When choosing a B2B company to grow a wholesale relationship, consider price, customer support, product portfolio, and reliability, which are all essential factors to consider when deciding which wholesale supplier will work best for you. You can even find dropshipping wholesale suppliers who will ship their goods directly to the customer. Continue reading to learn everything you need to understand about selecting the best wholesale provider for your company’s needs.

Recognize the Wholesale Market.

First and foremost, you should be aware that the wholesale distribution industry is massive, with the top 50 wholesale distributors accounting for only 25% of the industry’s profits out of 330,000 wholesale suppliers. A wide range of industries, such as apparel, food, and beverage, medical and electronic goods, to name a few, are served by the wholesale sector. Due to the intermittent nature of distributors, it’s critical to conduct extensive research on cannabis out of those who won’t save you time & expense.

Your Company’s Profile

Your relationship with such a wholesaler is often shaped in part by the size of your company, as this has a significant impact on pricing. The first step towards making your decision should be to figure out what price you can get, and buying in bulk is a common way to get low-cost goods. If you’re a small business with limited purchasing power, it may be necessary to cultivate a long-term relationship with a wholesaler—usually by signing a contract—in order to negotiate a lower price. Sadly, some wholesalers place an excessive amount of emphasis on a group of high clients, and it’s critical that you don’t get lost in the mix.

As a result, small and medium-sized businesses should choose a wholesaler that provides personalized service, has an excellent industry reputation based on testimonials as well as references, and offers a clear volume special offer pricing scheme so that you can prepare for the future by acquiring larger discounts as your company grows.

What Is A Distribution Partner, Exactly?

How to Choose a Wholesaler
What Is A Distribution Partner, Exactly?

A distribution partner is a person or entity that has been granted permission by a previous squad to market, distribute, resell, or otherwise provide the original party’s products and services to a broader or more targeted market.

Distribution partners, in its most basic sense, are the people who get your products onto the shelves. Assume you’ve made a matcha beverage. To get your cans into the coffee shops, you’d rely on a distribution partner. Distribution partners come in a variety of sizes and are known by a variety of names. Wholesalers, for example, may be familiar to you. They are usually large distributors who provide inventory for businesses to sell. The following are some of the other players inside the distribution chain:

  • Manufacturers: They purchase from smaller producers or artisans.
  • Exclusive Distributors: They sell to local wholesalers in an exclusive capacity.
  • Regional Distributors: They sell large amounts of items to other wholesalers as regional distributors.
  • Jobbers: They make on-time deliveries to local companies on a daily basis. (Think of the traditional milkman.)

The Distribution Challenges

The allocation game can be a shambles and a drain on your finances. In some industry sectors, distribution necessitates a vast network in which a new middleman seems to always be trying to break in.

Allocation is primarily a logistical challenge. All involved parties want to make sure there is a constant flow of inventory as well as products at the storefront and in the warehouse. For many smaller companies, outsourcing the entire distribution process to a third party is more convenient. The result, nevertheless, is a lack of control: you never know how many additional partners will be required to work along with another with whom you’ve agreed to work.

Distributors help small businesses make complex decisions on product placement and stock availability. They frequently seek strategic advice from distributors on how to break into oversaturated markets. Finding the perfect places to sell a brand is what a good distribution partner can do to put it on the map.

Selecting a Wholesale Provider: Criteria

How to Choose a Wholesaler
Selecting a Wholesale Provider: Criteria

It’s important to consider the following factors when deciding whether or not a wholesale supplier is right for you:

Offerings of Products

It may seem self-evident, but make sure the wholesaler offers the products and brands you want. To make the purchasing process as simple as possible, work with wholesalers who provide a clear product catalog that is easy to search and includes plenty of product details. Examine if the wholesaler sells products that you don’t presently have but would like to offer in the future, if they have exclusive entry to only certain key products, as well as how constantly reliable their products are because you’ll never run out of stock.

Shipping That Is Dependable

Even if you purchase products at a discount from a wholesaler, late delivery can cost you a lot of money. In essence, a shady wholesaler will reflect badly on you, reducing your ability to provide outstanding customer service to your very own clients. That’s why choosing a wholesaler who offers automated shipping alerts, product tracking, as well as being familiar with your industry’s shipping requirements is beneficial. If you’re looking for a food wholesaler, for example, make sure they use quality kept in the fridge trucks to maintain your produce fresh.


The price isn’t always determined solely by volume. Check out a variety of wholesalers because there can be significant price differences depending on shipping ranges, the wholesaler’s connection with manufacturers, and sometimes even currency values depending on the company’s geographical area. While you still can always compare prices on websites like Alibaba as well as Wholesale Central, also it pays to use unconventional methods like contacting producers directly as well as asking them who they recommend as wholesalers.

Customer Service Is Very Important

When it comes to choosing the right wholesale provider, excellent customer service is critical. Is it simple to contact someone to discuss a problem? Is there really a help desk, a live chat option, or a phone number for support? You want to work with a wholesaler who will be there for you when you really need it.

Finally, consider how a wholesale relationship will affect your day-to-day interactions with customers. At the very same time, you must choose one that makes economic sense while also giving you the assurance that you have a trustworthy business partner.