Types of Resellers and Retailers


Resellers and Retailers are both businesses that buy merchandise, store and then sell it to make profits. They can be found online or in brick and mortar shops or both. They buy from wholesalers and distributors and then resell to businesses or consumers. Although a variety of types of resellers are available There are two main types which are Dropshipping and Private Labeling. Private labeling occurs when the reseller rebrands the product of the manufacturer by adding their logo, name and packaging. This type of reselling takes place a lot in the field of technology where a computer maker might offer both their own hardware as well as third-party accessories or software.

Bundling is another form of selling. Bundling occurs when a seller mixes similar products from different companies to create a package that is attractive. A reseller, for example may purchase digital cameras, memory cards and Photoshop Lightroom software made by various manufacturers to create a kit to assist new users to get started with digital photography.

Retailers typically purchase bulk quantities from distributors or wholesalers and then sell the goods at higher prices to customers. They also sell on marketplaces on the internet, such as eBay and Amazon. Retailers offer a range of added value services, such as customization and technical support. They can also charge additional costs, like handling and shipping costs. Home Depot, for example may be more expensive than Walmart because it owns its own store and can handle logistics like storage and delivery.

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