Do you run an e-commerce store with WooCommerce?
If you’re starting to see some traction and are looking for ways to increase your monthly revenue, then you could consider adding a wholesale component to your business.
Wholesale trading can bring a range of great benefits to your business and it needn’t take a long time to figure out. Our Wholesale Suite of plugins makes implementing wholesale features simple.
There are many positive aspects of adding a wholesale sales to your existing business structure beyond the 3 that we will be mentioning today, so I encourage you to continue researching this topic and confirm if wholesale sales are the right move for you and your business.
Today we’re talking about 3 really interesting reasons why adding wholesale to your e-commerce store might be a good move.
#1 Increase Average Order Size
Increasing the average order size is a great goal to have for a growing e-commerce website.
Not only does it give you a sense of how well people are engaging with your site but it’s a good measure of your profitability. Knowing and improving your average order size can also help inform lots of other day to day decisions such as the viability of advertising channels for your business.
By adding wholesale orders into the mix, you can quickly increase your average order size metric. Wholesale customers generally make larger orders, although they do so at a slightly discounted rate.
#2 Repeat orders
By definition, a happy wholesale customer will re-order time and again.
This is an excellent scenario for a growing e-commerce business because it gives you consistency and more predictable income month on month.
There are several techniques you can use to increase your repeat orders including:
- Giving your wholesale customers plenty of resources like sales guides and promotional gear to help them sell more
- Providing incentives for ordering more; such as bumping them up to the next wholesale tier to provide even better discounts
- Running wholesale only promotions that have a time-sensitive offer to get them to order quickly
#3 Spread Your Message
Having wholesale customers also has the benefit of other companies spreading your brand message for you which increases your sales reach.
You can think of this tip in two ways:
- The most obvious way is that they can spread your brand name further than your existing reach; this is more relevant if you have your own branded products.
- But you can also think of it as a way to reach new markets with your product lines by tapping into other company’s existing audiences. The cost of this promotion is the discount you give your wholesaler but it allows you to sell to customers that would otherwise be out of reach.
Is Wholesaling Right For You?
This is a highly individual question and it will depend on your business structure.
Introducing wholesale sales can certainly do all the positive things above that we’ve mentioned and can open a lot of doors for a growing e-commerce business.