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Wholesale and Retail selling



 
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Old December 20th, 2008 Dec 20, 2008 5:42:03 PM -   #1 (permalink)
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Default Wholesale and Retail selling

Hi everyone,

I have seen lots of good information about wholesale and retail pricing. But I haven't seen much information on wholesale pricing while also having an online retail price. Online I would like to sell the t-shirt for $15 without shipping and handling but I would like to wholesale the product for stores for 8 dollars, with a suggested retail price of $16. Is it a bad practice to offer a cheaper price online (w/o shipping and handling) than the store price? In the end, it might cost the end consumer $18 or $19 online but only $16 in stores. Any advise?

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Old December 20th, 2008 Dec 20, 2008 10:50:44 PM -   #2 (permalink)
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Default Re: Wholesale and Retail selling

Hey Jonny....

Welcome!

We do this and don't see a problem with it. The extra $ for the online items include shipping which typically make them a bit more expensive than the same product in our store. Some folks "throw in" free shipping above a certain amount but the is really backed into the price.

For our new website, we are going to allow dealers to purchase our shirts at a wholesale price (discount) by giving them a discount code that they have to type in when they order. Otherwise, they will be charged retail price.

If you are concernted about advertising your wholesale price to the public, then you can just send this information to people who inquire about it. We've choosen to offer our wholesale price to dealers and anybody wanting to perhaps use our thirts for fundraisers and such. We advertise the price right on the website.

Good luck...
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Old December 21st, 2008 Dec 21, 2008 10:39:19 AM -   #3 (permalink)
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Default Re: Wholesale and Retail selling

I don't think you'll have a problem. I know somebody who sells hand-knitted Alpaca hats. She sells them on her website for $48, and she sells them to the stores for the SAME PRICE! It's kinda funny that she doesn't even give them wholesale pricing. Anyway, the boutiques that are selling her hats up the prices to $56 (so they get $8 profit per hat) and they sell like crazy - even though these people can get them online for $48.

Then again, she's been in business about a month and just got her first online sale. She's not very internet savvy, and hasn't marketed her website AT ALL as far as I know, except a little word of mouth. This could have something to do with it...
 
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