Wholesale

Definition of wholesale

Wholesale involves the sale of goods to retailers in large quantities at a lower price per unit, allowing retailers to resell products to end consumers.

More about wholesale

Wholesale transactions typically occur between manufacturers or distributors and retailers, enabling retailers to stock inventory. A typical example is a clothing manufacturer selling bulk shirts at a discounted rate to a retail clothing store. Beyond clothing, wholesale practices are found across the electronics, food, and beverage industries. This helps retailers maintain consistent stock levels and competitive pricing. Wholesalers benefit from selling in large volumes, while buyers gain cost savings per unit. This model also supports private labeling, where retailers sell products under their own brand names. Many wholesalers operate online platforms in today’s digital economy, making bulk purchasing more accessible to small and medium-sized businesses globally.

Strategies of wholesale

Establish wholesale pricing structures, negotiate terms with retailers, and maintain efficient logistics for large-scale distribution.

Related terms

• Retail
• Distribution
• Supply chain