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Published bySybil Bridges Modified over 9 years ago
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Wholesaling Encompasses the buying and/or handling of good and services and their subsequent resale to organizational users, retailers, and/or other wholesalers- but not the sale of significant volume to final consumers
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Manufacturer/service provider wholesaling Producer does all wholesaling functions Reasons for use Independent intermediaries unavailable Existing intermediaries unacceptable Control Few customers Personal service Proximity or clustered Computerized ordering
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Merchant Wholesaling Wholesalers that buy, and take title and possession of products for further resale Full service Limited service
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Full service merchant wholesalers Perform a full range of distribution tasks, including credit, storage and delivery, merchandising and promotion, a personal sales force, research and planning, and passing information to suppliers and customers, installation and repair
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Merchant wholesalers: General merchandise wholesalers Carry a wide product assortment, nearly all of the items needed by their customers
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Full Service Merchant Wholesalers: Specialty Merchandise Wholesalers Concentrate on a narrow product range but have an extensive selection within that range
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Full Service Merchant wholesalers: Rack Jobbers Furnish the racks or shelves on which the product are displayed Often own the products and sell on a consignment basis Jobbers fill the shelves, mark goods, maintain inventory, and compute amounts due Cosmetics, drugs, stationary
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Full service merchant wholesalers: Franchise wholesaling Independent retailers affiliate with an existing wholesaler to use a standardized storefront design, business format, name and purchase system
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Full service merchant wholesalers: Wholesale cooperatives Owned by member firms to economize functions and provide broad support. May be owned by producers and retailers
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Limited Service Merchant Wholesalers Perform some, but not all, of the functions performed by a full service wholesalers Cash and carry wholesalers Drop shippers Truck/wagon wholesalers Mail order wholesalers
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Agents and brokers Perform various wholesale tasks, but do not take title to products Work on commission or fees
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Agents and brokers: Manufacturer’s or Service provider agents Work for several manufacturers or service providers and carry noncompetitive or complementary products in exclusive territories
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Agents and brokers: Selling agents Responsible for marketing the entire output of a manufacturer/ service provider under a contractual agreement.
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Other agents and brokers: Commission (factor) Food brokers Commercial stock brokers
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