Types of wholesales151

TYPES OF WHOLESALERS

By:Richa Manjhi

Learning Outcomes

Explain meaning of wholesaling & wholesaler?

Explain types of wholesalers?

Explain Brokers and agents, commission merchants?

Concept

Wholesaling :-

All activities involved in selling goods and services to those buying for resale or business use.

Wholesaler :- A firm engaged primarily in wholesaling activities.

Wholesalers buy mostly from producers and sell mostly to: Retailers, Industrial consumers, and Other wholesalers.

Flow of activities

Manufacture(producer) Merchant Wholesale

wholesaler Manufacturers’ Sales Branches and Offices

Brokers/ Agents

retailer

customer

5

Types of Wholesalers

Merchant WholesalerIndependently Owned

Business that Takes Title to the

Merchandise it Handles.

Brokers/ AgentsThey Don’t Take Title

to the Goods, and TheyPerform Only a Few

Functions.

Manufacturers’ Sales Branches and

OfficesWholesaling by Sellers or

Buyers Themselves Rather Than Through

Independent Wholesalers.

Merchant wholesalers

Full- service wholesalers

-Wholesalers merchants

- Industrial distributors

Limited-service wholesalers

- Cash and carry wholesalers

- Drop shippers

Cont…..

- Rock jobbers

- Producers cooperatives

- Mail-order wholesalers

Brokers and agents

Brokers

Agents:

- Manufacturers’ agents

- Selling agents

- Purchasing agents

Manufacturers’ and retailers’ branches and offices

Sales branches and offices

Purchasing offices

Brokers and agents

Brokers:- An individual or firm which acts as

an intermediary between a buyer and seller, usually charging a commission. For securities and most other products, a license is required.

Ex: - food brokers

real estate brokers

insurance brokers

security brokers

Agents

Represent either buyers or sellers on a more permanent basis than brokers do.

Ex:- Textiles agent

Manufacturers’ agents

An agent representing one or more manufacturers in selling related but noncompeting goods, usually on a commission basis and in a particular territory.

Ex:- Reliance fresh,more

Selling agent

someone who sells goods (on commission) for others.

A person who sells something for someone else, generally in return for a commission based on a percentage of the sale price.

Ex:- Industrial machinery and equipment

Purchasing agent

An agent who purchases goods or services for another.

The purchasing agent is required to know about the various purchasing policies and the techniques.

Ex:- LIC agent Tata company agent

Commission merchants

 A person who buys or sells goods for others on a commission basis.

EX:-

Farmers and manufacturers who have large quantities of goods to sell send them to the cities to the commission merchant, who sells them for them.

Online wholesaling

www.wholesale.com

Video.

THANK YOU!!!