What is Retail and Wholesale Industry?

There are three important trading links for running a business. It is only after the mutual harmony of these three important links that anything reaches the customer. That is why it is necessary that there should be a good synergy between these three business links. Only then that business runs well and earns more profit. These three important links of business have not arisen only today, but since the time the business started, these three links are present in different forms. Earlier, even though they were known by some other name, today they are known by another name.

Earlier, the arhtiyas were wholesalers.

In the olden days, when trade was done only through agriculture, at that time, the brokers used to work in the big mandis of the cities. Those who used to take all the goods from the farmers or the seller of the goods in the market. Those goods then used to sell their goods to the shopkeepers sitting in the markets and streets of the city. Then the shopkeepers of these small markets and streets used to sell their goods directly to the customers.

What is the relationship between Wholesalers and Retailers?

Wholesalers and retailers are the strong connecting links of a chain system to take any business product to the customer all over the world. Both these links play an important role in the running of any industry. Without these two, no business can be imagined to run. Although in the meantime, the fast running online business was threatening the business of wholesalers and retailers, but despite having lakhs of online businesses, the need of wholesalers and retailers is still felt today. There is a very good rapport between these two. Where the wholesalers run their business by selling the goods of the manufacturer. It gives employment to the retailers. On the other hand, the retailers also buy the goods of wholesale and employ them and sell the goods to the customers and earn profit by earning themselves employment. Along with this, they give their arbitrary facilities to the customers.

What is the future of Wholesale and Retailers Industry in India?

However, the year 2020 has been very bad for India’s retailers and wholesale industry. During this, the work of wholesalers and retailers came to a standstill due to the epidemic of Kovid-19. Due to government measures to control Kovid-19 i.e. lockdown and physical distancing, consumers had stopped taking physical goods. Due to this there was a huge decline of 7 percent in the business of retail and wholesale industry. During this time, those doing online business had become silver. After that the picture has started changing again when it is unlocked. Now the retail and wholesale business is back on track again. Well, experts have a very good opinion about this business. Experts estimate that the retail and wholesale business can grow by 11 percent in the coming four years i.e. by 2025.

What does this guess say?

The role of wholesalers and retailers is very important in the business world all over the world. According to another estimate, by the year 2023, the wholesalers and retailers industry is going to play a huge role in the world economy. According to a business research, by the year 2023, the business of the wholesalers and retailers industry can reach about Rs 82 lakh crore. In this way, it can be understood that how important is the industry of wholesalers and retailers for the business of the whole world.

Who are the three major trading links?

Today the times have changed. All the things needed by the common man have started being made. For this, many factories, factories are running. They prepare their items, then prepare to sell them. Manufacturers, wholesalers and retailers or retailers play a role as the three major links in business. Through these three the distribution system runs smoothly and accordingly the product reaches the customers.

manufacturer or manufacturer

It will not be surprising if the manufacturer is called the foundation of business, because it is the person who prepares something from his factory and sells it.

1. A manufacturer is a person who, with the help of various types of machines and workers, makes necessary goods from raw materials for the use of consumers.
2. In view of the demand or requirement of the consumers, the manufacturer makes the goods of his need ready in his factory and factory.
3. After getting the consumer goods ready in large quantities, the manufacturer makes a strategy to earn profit by selling his finished goods.
4. A manufacturer makes such a large quantity of goods which he cannot sell to a single person. Although there is maximum profit in selling one goods, but in as much time as he thinks of selling one item, he can earn many times more profit by making many goods in that time.
5. The manufacturer, under this strategy, seeks wholesalers, who are called wholesalers, to sell his goods in bulk in different cities.

What is Wholesale Industry?

The group that sells products at wholesale rates to the retailers is called wholesale industry. Wholesalers ie wholesalers do the work of selling goods to retailers in wholesale. These wholesalers can be in organization (organization), sole trader (solo businessman) and partnership. Wholesalers are directly related to industries related to agriculture, mining, manufacturing, information industry and factories. The main job of these wholesalers is to buy things in bulk, store them and sell them to the retailers. Along with this, selling your product to those wholesalers who provide a variety of services to their customers in large quantities.

The wholesale industry also includes those wholesale agents or brokers who make all arrangements for buying and selling things at their own fee or commission. The wholesale industry includes those providing business-to-business electronic markets and platforms, as well as agents who provide all the facilities for wholesale trading. A special thing in this wholesale industry is that not a single person or company or firm will be found in this industry which makes its own goods.

How important are the duties of a wholesaler?

Although the wholesalers are understood to be so much that they take the goods from the manufacturers and sell them to the retailers and from that they earn their share of profit, but the wholesalers have a big role in the business, or whatever the product can be branded. And he can sink whatever brand he wants.

In other words, if you want to understand, you can understand in this way that just as a potter makes lamps, kulhads, jug, matka etc. from clay and makes them capable of selling them in the market. In the same way, wholesalers can take any manufacturer’s product from floor to floor with their mental skills and can also take them from floor to floor.

If the first step to start a business is told to the wholesalers, then there will be no wrong thing. The main reason for this is that the manufacturers have prepared their goods and sold them to the wholesalers. After that all the tension of the wholesalers starts. He starts trying that the one who has bought the goods in bulk from the manufacturers by investing huge capital, how to do business so that his money can also be returned and he can get profit on it.

That’s why the wholesalers build their godowns at a cheap place away from the city, where the goods can be loaded and unloaded. Apart from this, no money is charged on the goods taken from the manufacturers. He supplies the same goods to the retailers as he takes from the manufacturers. Neither decorates it nor does any demo of it.

Wholesalers spend most of their money on marketing the products they have. Provides its products to the retailers as per the demand. At the same time, he assures that this goods will be sold easily and if there is any problem, it is also ready to help the retailers in every way to solve it.

This has happened to the wholesalers with local products. Whereas the wholesalers of the branded company do not have the time. Wholesalers have to pay a significant amount to the company for branded products. He then gets to sell the goods to the retailers at a limited profit. In this type of business, the tension of the wholesalers is less because the marketing of the product is done by the company. This makes it easy to find retailers in the name of the brand.

The wholesalers of a branded company have two roles. One is that most of the retailers come to him and take the goods they need. Secondly, his agents go to the retailers in the market and write the order and inform the supply team sitting in the warehouse of their firm, from where they supply the goods according to the orders of the shopkeepers.

Most of the wholesalers shy away from selling the retail goods directly to the customers, due to which their accounts get messed up. If a customer wants to buy any product by putting pressure on the wholesalers, then they condition that customer to buy the goods in a certain quantity. The customer is well aware that the same product can be obtained from the wholesalers at much lower rates than the retailers. So he tries to approach the wholesalers.

What is the Retailers Industry?

The way the wholesalers industry is the lifeblood of the business world. Similarly, the retailer industry is also the main link of business. Without them the business cannot even be imagined, it is the same real entity that delivers the product of the manufacturer directly to the customers.

Retail industry includes those people who earn profit by selling the products of companies to customers by opening retail stores in their organization, single company or partnership, shops or showrooms, mini marts, shopping malls.

These retailers easily make available the products to the customers at their convenient place on the quantity demanded by them.

These retailers buy goods in bulk from the wholesalers, store them in their shops, display them, attract customers and earn profits by selling them. These retailers also sell goods purchased from wholesalers online and sometimes even do home delivery.

What do retailers do to sell goods?

Wholesalers buy products in large quantities from the manufacturers and store their goods by building warehouses at cheap places outside the city. Apart from loading and unloading the goods, he does not spend a single penny on it. But it is not so for the retailers, he has to invest money in many ways to sell his goods and has to make many efforts, then he is able to sell his goods somewhere, let us know by what work the retailers do their products. tries to sell.

1. First of all, the retailers take an expensive shop at a place with prime location.
2. He spends a lot of money on interior decorating in this prime location shop
3. Apart from this, he does the work of decorating the product in his shop.
4. He also takes the advice of experts to decorate the shop.
5. Hires employees on salary to maintain the shop.
6. Comes out with a variety of attractive schemes to invite customers to the showroom or mini mart
7. You must have seen many mannequins in front of grocery shops and clothes shops, that is a way to increase business and attract customers.
8. Approaches customers on its behalf to sell non-branded goods as well as branded goods
9. Makes a different effort to sell local brand merchandise
10. Attracts customers during festivals and seasons by organizing special events in its showrooms or shops
11. By doing online business with offline showrooms, the customers get the goods they need at their homes.

Why do retailers have higher rates?

Often there is such a discussion among the customers that these goods are available very cheap in wholesale but why are those goods so expensive at this showroom. There are many reasons for this, the main ones are as follows.

1. Have you ever seen a wholesaler’s warehouse, if not, then once you have a look, you will know what is the difference between a retailer’s showroom and a wholesaler’s warehouse.
2. There is a huge difference between the retailer rents the shop for his showroom and the one who rents the godown of the wholesaler.
3. A lot of money is also spent in getting the interior decoration of the shop.
4. Electricity is also charged in the shop.
5. To make the shop attractive, its exterior decoration also has to be done.
6. Retailers also have to install air-conditioning etc. in the showroom as per the standard.
7. In order to provide good service to the customers in the showrooms of the retailers, employees also have to work, they also have to pay salaries.
8. Retailers’ showrooms are very expensive and they are filled with goods worth lakhs. He has to get insurance for that. CCTV cameras are installed. Despite this, security guards have to be deployed for security, they also have to pay salaries.

All these frills retailers have to get the customers done in their showrooms. A lot of money is spent on their maintenance. From where will the merchant get that money? All those expenses are included in the sale of that product. That’s why those products cost you dearly. Retailers are also well aware of this and they do not want to pass the burden on their customers. That’s why there are some such products which give more profit on selling the market rate. Recover it from them. That’s why we give you branded products at the same fixed rate. Some local products are definitely expensive. For this reason, nowadays smart customers try to get the goods which are expensive in offline showrooms by placing online orders. The showroom owners have taken the option that they themselves do online business as well as offline.