Difference Between Wholesalers And Retailers
The main differences between wholesalers and retailers can be pointed out as follows:
1. Meaning
Wholesalers: Businessmen who buy large quantity of products from producers or distributors and sell to retailers.
Retailers: Businessmen who buy different varieties of goods from wholesalers and sell to ultimate consumers.
2. Product Line
Wholesalers: They deal in certain product line only
Retailers: They deal in different varieties of products
3. Investment Required
Wholesalers: Huge amount of investment required
Retailers: Lesser amount of investment than wholesalers required
4. Purchase Volume
Wholesalers: They purchase in large volume directly from producers or distributors
Retailers: They purchase in smaller quantity from wholesalers
5. Decoration
Wholesalers: They do not need decoration and display
Retailers: Attractive decoration and proper display of goods is required
6. Location
Wholesalers: Located in different cities, towns and villages
Retailers: Located at a particular place or area
7. Scope
Wholesalers: Wider scope
Retailers: Limited scope
8. Profit Margin
Wholesalers: Less profit margin
Retailers: More margin than wholesalers
9. Competition
Wholesalers: Wholesalers have to face less competition in the market
Retailers: They face tough competition
10. Selling Skill
Wholesalers: They do not require art of selling to attract the customers
Retailers: They require art or skill of selling
11. Advertisement
Wholesalers: Not Required
Retailers: Required
12. Credit Facility
Wholesalers: They provide credit facility to retailers
Retailers: They sell on cash basis
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13. Link
Wholesalers: No link with the ultimate consumers
Retailers: Direct link with the customers
14. Economies Of Buying
Wholesalers: They enjoy the benefit of large scale buying
Retailers: No benefit of bulk buying
Wholesalers Vs Retailers (Comparison Chart)
This post helps to understand the difference between wholesalers and retailers and to make comparison between them.
Wholesalers Vs Retailers (Comparison Chart)
Basis For Difference
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Wholesalers
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Retailers
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Introduction
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Traders who buy products from producers and sell to retailers
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Traders who buy products from wholesalers and sell to the final customers
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Product Line
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Limited
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Different varieties
|
Investment
|
Huge
|
Less
|
Purchase Quantity
|
Large
|
Small
|
Decoration
|
Not Required
|
Required
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Location
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Different locations
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Specific area
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Scope
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Wider
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Limited
|
Profit Margin
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Less
|
More
|
Competition
|
Less
|
High
|
Selling Skill
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Not required
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Required
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Advertisement
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Not required
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Required
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Credit Facility
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Yes, they provide
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No
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Link With Customers
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No
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Yes
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Economies Of Buying
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Yes
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