What are you going to sell?
If you’re considering opening a wholesale business, this is one of the first questions that you’re going to need an answer for. Unlike retailers who can afford to sell a wide variety of products with their business model, your own list is going to be far more specialized. That means that you can just choose what you’re going to want to sell on a whim.
You’re going to need to put some serious consideration into what you’re going to be selling and consider all the factors that will influence your ability to make money.
So, here’s some things that you’re going to need to start considering so you can start narrowing down the list of sellable products.
What’s your competition going to look like?
Regardless of what sort of product you decide to start selling, you’re going to be faced with competitors. What that competition looks like is going to have some serious repercussions on how successful your business is as a whole. Do you think that you will be able to make a name for yourself in a market full of dozens of well-established competitors?
Or would it be better to find a market that’s less saturated with sellers?
The choice is up to you, but you should be carefully considering what is in the best interests of your burgeoning business. Gathering a customer base is already difficult enough for a newcomer, never mind when they have other businesses pushing them down.
Sometimes the best way to win a fight is to not fight at all.
What would you rather see a commercial for, an oven or a toilet seat?
That’s what we thought.
While both products are important for any household, one is clearly more marketable to the general public. It is possible to make money off them both, but when you’re a new wholesaler, you’re going to want to be producing something that you are certain people are going to be purchasing in bulk.
Something that they want to be sold to them.
You’re going to want a product that’s as easily markable to the general public as you can.
Though last on this list, it’s certainly one of the most important things to consider.
Is your product going to make you money?
Even if you’ve managed to check off every other box, if your chosen product doesn’t have the capacity to make your money back, then it’s worthless. Trust us, you’re going to be spending a lot of money, from marketing to partnerships and a lot more. You’ll need to check the average wholesale prices of the products, what sort of returns you’ll be seeing, what can be done to get every penny out from a deal that you can.
It will be a long and tedious process, but one that will pay itself off in the end (quite literally).