The resale market is growing rapidly alongside the growth of ecommerce and retail around the world. Knowing how to find the best cheap wholesale products for resale is very important, making the sourcing process simple and helping you to make the most of this great business model. This article will guide you through the reasons that you should invest in cheap wholesale products, as well as the types of people that benefit from doing this. It explains the processes involved in the wholesale business of reselling before listing the benefits of choosing to resell. Next, you can see the best types of cheap wholesale products, explaining why each is brilliant for resale. Finally, the article highlights four simple steps to find the right wholesale products that you can purchase and resell for a profit. When you know where to begin, this business model is very successful and can make it easy to make a large profit. The resale market is expected to continue to grow in the coming years, meaning now is the perfect time to get involved and buy cheap wholesale products that you can sell to your customers.
Who buys cheap wholesale products for resale?
There is a wide range of people that can benefit from buying cheap wholesale products for resale. The benefits of these products will be explored in more depth later in this article, however the various advantages of buying cheap wholesale products for resale.
We will now take a look at the kinds of people that typically buy these items, as well as the ways that they choose to resell, giving you ideas of the ways that you can use wholesale products.
Retailers and store owners
Retailers with physical stores often purchase cheap wholesale products for resale. This means they purchase the items with the goal of making more money from selling each one. Making a wholesale purchase is a suitable way of working, as it means they can have plenty of stock available which they can showcase in their stores, tempting customers to come in and buy them.
Ecommerce businesses
Ecommerce businesses are another type of business that buy wholesale products most often. This industry has grown very quickly in recent years, with more people than ever before shopping online. Ecommerce businesses can purchase wholesale stock and have it ready in storage, so that when an order is placed, it can be shipped directly to the customer.
Brands
Brands are another group that can make the most of wholesale purchases. If a brand knows that they need a large quantity of something, bulk buying it in one order means they can have lots of stock ready to sell or send. As an example, some brands like to have branded pens that show off their logo or tag line. These can be placed around the office, given to new employees, given to clients at meetings and even sold at events, helping to grow brand awareness. By buying these in large numbers wholesale, they can be ready to use and sell whenever they need.
How does the reselling of products work as a business model?
The resale business model is very common due to the fact that it is incredibly successful around the world. It’s relatively simple and if you know what you are doing, it can be very enjoyable.
These are the steps of the wholesale resale business model.
1. Decide your products
The first step when realizing cheap wholesale products for resale is to decide which product you want to buy. This should be based on the preferences of the people that the products are intended for. For example, if you know your customers are mainly buying for children, buying wholesale toys could be a good idea. If your audience is usually women aged 25-35, beauty and cosmetics products may be a good idea. It’s important to take time during this stage, to make sure you make an informed purchase that will benefit you moving forwards.
2. Work out your profit margins
This step should be worked out before making a purchase for resale, to make sure it is a good idea. Once you know the types of products that you want to buy, you should look at the different prices, working out the cost per unit. You should also carry out market research to understand the demand for the products and the price that they typically sell for in retail. This is around the price you will be able to resell them for.
3. Purchase the products
The first step is to purchase the products that you want to resell. You then wait for them to arrive.
4. Market the products to your audience
Once you have the products, the next stage is to make people want to buy them from you. This is vital if you want to make a profit through reselling cheap wholesale products. Think about ways to capture the attention of your target market that want to buy resold products, whether it is through advertising, outreach or promotions.
5. Sell for a profit
After this, you need to sell your products for a profit, adding your profit margin onto whatever you paid per item. This is the most important stage of turning the whole business model into a success.
6. Reinvest the profit into buying more stock
Once you have made a profit by reselling products, the great news is that this can be just the beginning of your journey. If you reinvest your profits back into buying larger volumes of stock, you can continue to grow your business and become more successful.
The benefits of buying cheap wholesale products for resale
If you are unsure whether or not realizing cheap wholesale products for resale is the right decision for you, this section will explain the reasons that you should invest in doing this. Those that specialise in wholesale are very used to selling to those that want to resell, meaning the process can run smoothly and can be straightforward.
Low cost per item
When you buy wholesale products, the cost is lower. This low cost per item means whatever you choose to buy is far more affordable than you can get anywhere else, making it ideal for resale due to the profit you can make. This even means that you can sell it at a more competitive price than similar businesses, being more affordable while making sure the business is profitable for you.
Can purchase large quantities
In wholesale, everything is bought in bulk. The quantity can depend on the product and supplier, however having larger numbers of items means that you have the ability to place large orders. This is very different to buying from an individual retailer or shop, who may run out of stock easily, or only have 20 of each item in stock. The other benefit of this is that however big your business is and however many customers you have, you will be able to find a wholesale supplier that can met your demand.
Means you can resell in small or large numbers
When you resell, you need to make sure you have enough stock. If you have purchased wholesale in a large enough quantity, you can choose to sell in any numbers that you would like to.
You choose the profit margin
The greatest thing with realizing cheap wholesale products and reselling them is that you are in control of the profit margins. After finding the perfect products at the right price, you can tell people your price and make sure you earn as much as you want to as profit.
The best types of cheap wholesale products for resale
Simply put, there are endless types of cheap wholesale products that you can buy to resell. Here are some of the categories of products that are cost-effective and are brilliant when it comes to resale value:
Clothing
Clothing is popular for all ages, genders and styles. This means it is a versatile wholesale product that can be purchased for a low cost and sold for a higher price.
Fashion accessories
These can include sunglasses and hats, being reasonably priced and tempting people to make impulse purchases.
Jewellery
Necklaces, earrings and rings are some of the most popular types of jewellery that can be purchased in bulk. Often, these can have huge profit margins. A top tip for anybody wanting to resell jewellery is to make sure it is presented perfectly, whether this is through imagery on websites, or by displaying it nicely in a store. Being able to have great lighting that really shows off the jewellery can make it look a lot more desirable and premium, increasing the price significantly.
Tech and electricals
This category includes things such as headphones and phone chargers. People regularly lose or break these products, meaning they are purchased quite often as well as shoppers being willing to pay a lot for a reliable tech or electrical products. While they may be expensive to buy, this is a great market to enter for reselling because you can sell products for cheaper than some of the big brands, but buy them for very low prices in wholesale.
Beauty
Beauty products are another one that can be very profitable when resold. This can include items that do not have short shelf lives, such as nail files and hair brushes, or it can be items that do not last as long, such as moisturisers and makeup. If you are starting out in the resale industry, it is a good idea to choose a product that lasts for a long time, to reduce the risk of not selling stock and having to dispose of it, or being unable to sell it in time.
4 Simple steps to find the best cheap whole products for resale
1. Know your audience and products
First, you must understand the people that you want to resell to. By knowing the things that they like and the preferences that they have, you are able to select potential products to resell. Take a look at the previous section on the best types of cheap wholesale products to give you a guide of where to start.
2. Search on a marketplace for products
Once you know the products that you want to purchase for resale, you should go onto a marketplace to view the available products. There are many sites available that allow you to view large numbers of different products from different suppliers. This is the best way to understand what is available and get an understanding of the types that you think are most suitable to help you to meet your objectives.
3. Compare prices and other relevant information
Begin to note down relevant information about each supplier or manufacturer and the products that they sell. Many websites that show hundreds, or even multiple thousands of suppliers tend to be great at showing all relevant details and making it easy to compare different options. Information can include:
- Price
Make sure you know the cost per item so you can compare how reasonable each supplier is in comparison to others.
- Minimum order quantities
Take a note of the minimum order quantity, making sure you know the lowest number of units that each supplier allows you to order. Often, the higher the quantity, the lower the cost per unit, which can make reselling more profitable.
- Maximum capacity
Remember to check what the maximum order capacity is, to make sure they can keep up with your demand. It is a great idea to choose a supplier that is able to increase capacity if needed, as well as being able to reduce from your chosen number of units if required.
- Shipping times
When reselling, it is key to know exactly when stock will arrive. Without this information, you may disappoint shoppers than place an order and then have to wait for a long time for their products to arrive. By knowing this information, you are able to know exactly when you need to reorder to maintain optimum stock, as well as feeling confident that you will not run out. This way, you can resell continuously.
- Packaging information
Some consumers are wanting eco friendly packaging, however the most important thing is to make sure packaging meets your needs. Make sure products are protected while being shipped so there are no breakages of disappointments. Finding this information out is important, as a pallet that is enormous has very different storage requirements to individual small boxes.
- Reviews
Reading reviews is the best way to understand the experience and service that you are most likely to get. If you are able to find reviews, take time reading through to find out the positive and negative aspects of working with each supplier. Make sure the products meet the descriptions, that other customers are happy with the quality and that the shipping and delivery is also suitable. This is the greatest way to make sure you do not place an order and then realise the supplier was not exactly what you expected.
- Additional information and communication
Ask questions to make sure the supplier or manufacturer responds, as this is another important part of finding the right wholesaler to buy from. Ask any questions that you have and make sure you have all of the relevant information to make sure you are confident before agreeing to make a purchase.
4. Choose your wholesale supplier
Once you have all of the information that you need from the previous steps, it is time to eliminate any unsuitable options and choose your wholesale supplier.
Buy cheap wholesale products for resale now
Now you have all of the information that you need to invest in profitable and cheap wholesale products for resale, it is time to begin your research and find the perfect items to buy in bulk.
