Types of Resellers and Retailers

Both Resellers and retailers are businesses that buy stocks, sell and purchase products to earn a profit. They may operate online, in brick-and-mortar stores or both. They purchase their products from wholesalers and distributors, and then sell the products to consumers or businesses. While a variety of resellers exist but there are two main kinds: Private Labeling and Dropshipping. Private labeling is a practice which allows the reseller to rebrand an item from a manufacturer by adding their own logo, name and packaging. This type of reselling is widespread in the technology sector where a computer maker might offer their own hardware, in addition to third-party software and accessories.

Bundling is another form of reselling. Bundling is resellerassociation.com the process where a reseller bundles similar products from different companies to make a package that is attractive. For instance, a seller might buy digital cameras, memory cards and Photoshop Lightroom software from different manufacturers to make kits that help novice photographers get started in digital photography.

Retailers usually purchase bulk purchases from distributors or wholesalers, and then market the goods at higher prices to customers. They also sell their products through online marketplaces like eBay and Amazon. Retailers usually offer value-added products such as technical support and customization. They can also charge additional charges, like shipping and handling charges. For instance, Home Depot might charge more than Walmart for barbecue grills because it has a physical store and is able to handle logistics, such as storage and distribution.