Is your small business struggling to stay afloat? When you’re first starting out, finding customers and making consistent sales can be a challenge. Even if you have an excellent product, scaling takes time. This delay can put stress on your finances and endanger your entire business. This is why many store owners learn how to sell wholesale as an option to significantly increase sales.
The revenue from selling wholesale might even save your company and its easier than you think to get started and turn it into a new highly lucrative revenue stream. You really only need a few loyal wholesale buyers to keep you in business.
In this post, we’ll discuss why your small business may want to sell wholesale. Then, we’ll provide you with four tips to help you get started right away. Let’s get to it!
Why Your Small Business May Want to Start Selling Wholesale
Launching a small business is a risky task. While the growing e-commerce world has made it more accessible, nearly 20 percent of businesses still fail in their first year.
Moreover, scaling is cited as one of the biggest obstacles for small businesses. This may be particularly true if you sell a highly-niche product or a limited number of items.
However, the good news is that selling wholesale can help you organically grow your small business faster. Even better, you won’t have to spend a ton of money on marketing or traditional advertising to do it.
That’s because when you sell wholesale, you can naturally sell more products and enjoy a much higher Return on Investment (ROI). By offering a discounted rate on wholesale orders, you can create long-lasting partnerships with retailers and even individual buyers who purchase in bulk.
Still, wholesale transactions are a bit different than your standard consumer purchases. If you carefully consider your wholesale strategy from the get-go, you’ll be much more likely to reap the benefits of this mutually-advantageous business model.
How To Sell Wholesale As a Small Business (4 Easy Tips to Get Started Right Away)
1. Use all-in-one wholesale software
For every online business, a powerful website is critical. This is equally true for any small business hoping to offer wholesale.
However, a wholesale business (even a small one) will require some unique features. This will include functionalities to accommodate wholesale orders forms and special wholesale pricing. If you’re not using a straightforward tool, setting all of this up can take a lot of time and effort.
In order to get started right away, you’d be wise to use an all-in-one software solution like our Wholesale Suite plugin:
In addition to wholesale pricing and order forms, our plugin allows you to easily perform almost every task required for your online wholesale business. For instance, the plugin lets you easily create unique user roles and set minimum order quantities. It can even help you manage your taxes.
Moreover, Wholesale Suite integrates with essential e-commerce plugins such as WooCommerce and Advanced Coupons. You can even pair it with our lead-capture tool, which allows you to easily create a user registration form for wholesale customers.
2. Attend trade shows
Finding customers is likely one of the biggest challenges you face as a small e-commerce business owner. While wholesaling can help you overcome this obstacle more easily, you’ll still need to put in some work.
If you want to kickstart your new wholesale efforts, attending trade shows can really accelerate the process. For instance, if you live on the west coast and you want to start selling your artisanal chocolate to retailers, you might want to attend the Northwest Chocolate Festival:
Trade shows offer an excellent opportunity to get your name out there. The great news is that there are highly-niche events for pretty much anything you can think of. From chocolate to outdoor gear, if you do your research, you’re likely to find the right trade show for your business.
It’s also a good idea to stay as local as possible. This way, you’ll put less strain on your shipping system. Plus, local merchants may be more likely to pair with you if they prioritize sustainability.
3. How to sell wholesale via social media influencer partnerships
These days, every brand will likely need a strong social media presence in order to be successful. This is just as true for wholesale businesses.
Moreover, when it comes to wholesaling, social media can rapidly boost your sales. That’s because finding just one loyal client on a platform can make a huge difference.
It’s a good idea to partner with influencers in your product’s niche. You can either start an affiliate program or simply offer product samples to highly-relevant influencers in order to gain exposure. You might want to aim to work with micro-influencers, as they tend to have smaller, but more faithful followings.
Keep in mind that if your goal is to boost your new wholesale business, you’ll want to get the attention of retail buyers as opposed to individual consumers. These professionals may be scouting social platforms for new and exciting products.
4. Scale slowly
Wholesaling comes with its own set of unique challenges. Unsurprisingly, the biggest is probably stock shortages. Low profit margins and rapid fluctuations in demand can also cause issues.
As a small business, you may not have experienced this type of stress on your sales funnel or these unique hurdles before. In order to prevent or reduce the risk of these common mistakes, you’d be smart to focus on slow scaling.
You’ll want to make sure your entire wholesale pipeline is running seamlessly before you accept too many wholesale clients. That’s because you likely won’t be able to accommodate lots of new wholesale customers overnight.
It may also take some time to find the right wholesale prices. To help you out, you can use our free wholesale price calculator.
However, if your new wholesale business is going well, you also shouldn’t shy away from success. Once you’ve ironed out any issues with profitability, shipping, and quality control, there’s no reason why you shouldn’t continue expanding your wholesale business.
Running a successful small business is never easy. However, selling wholesale could be the strategy that breathes life back into your online company. Nevertheless, when you start wholesaling, you’ll need to actively seek out wholesale clients and adopt the appropriate tools for your new business model.
To review, here are four tips to help you get started selling wholesale as a small business:
- Use an all-in-one software solution such as Wholesale Suite.
- Attend trade shows to connect with new local clients.
- Partner with social media influencers to get the attention of retail buyers.
- Scale slowly so you can keep up with demand.
Do you have any questions about how to sell wholesale as a small business? Let us know in the comments section below!