Types of Resellers and Retailers

Resellers and Retailers are two businesses that buy, store and sell products with a view to earning making a profit. They may operate on the internet, through brick-and-mortar stores or both. They purchase wholesalers or distributors, and then resell it to businesses or consumers. There are many kinds of resellers, but there are two major types: Dropshipping and Private Labeling. Private labeling is a practice where the reseller rebrands the product of a manufacturer by adding their own logo, name, and packaging. This kind of reselling is common often in the tech industry in which a computer manufacturer may offer both their own hardware and third-party accessories or software.

Bundling is a different form of reselling. Bundling is when a reseller combines similar products from various companies to create a package that is attractive. A reseller, for example might buy digital cameras, memory card and Photoshop Lightroom software made by different manufacturers to create a kit designed to help new photographers get started in digital photography.

Retailers typically purchase bulk quantities from distributors or wholesalers, and then sell the products at higher prices to customers. They also sell their products through marketplaces on the Internet, such as eBay or Amazon. Retailers typically offer value-added services including technical support resellerassociation.com/difference-between-a-retailer-and-reseller and customizing. They can also charge additional costs, such as handling and shipping charges. For instance, Home Depot might charge more than Walmart for a barbecue grill because it has a physical store and can manage logistics, including distribution and storage.