If you are an established retailer (B2C) or wholesaler (B2B), chances are you have thought about combining the two, or at the very least thinking of transitioning to and from one or the other.
According to emarketer’s UK ecommerce report, ‘UK consumers will spend £106.46 billion ($141.93 billion) online in 2019. This will make up 22.3% of all retail spend, a proportion that will reach 27.9% in 2023.’
Online retail and eCommerce are constantly growing, and many wholesale companies are wanting to sell directly to the end-user – opting to integrate wholesale and retail together on one site.
There are many benefits to this, however it is a system that must be done correctly to avoid complications, as well as continue to attract and meet the needs of both B2B and B2C customers to your site.
In this article, we will discuss the advantages and possible issues of this dynamic duo’s combination – helping you to decide whether this is the model that’s right for you!
- Easier Management
Having both wholesale and retail all under one roof allows for bags of flexibility. For example, you can manage consumer and retailer accounts simultaneously, quickly resolve any technical issues, update your catalog, alongside managing products, order tracking, and confirmation emails.
Plus, if you can have your wholesale and retail business in the same location, this significantly reduces the cost for fuel, and saves time when it comes to waiting on deliveries or communicating between channels.
- Brand Appeal
A successfully unified website is designed for both retail and wholesale customers, balancing the different marketing divisions without compromising B2B for B2C and vice versa.
This is great for increasing brand awareness and giving you the chance to build direct relationships with both the public and other businesses, whilst minimising the cost of advertising and promotion.
- Smoother Buying Process
With people purchasing online more than ever, user interface, user experience, and an overall convenient shopping experience is key to ensuring your website is reliable and making you profit.
An Omnichannel strategy enables customers to find everything in one place, browse products seamlessly whether on desktop or mobile, and customise your website by taking aspects of B2B and B2C buying processes.
Sounds like a good deal right? But there a few factors to keep in mind if you decide to choose this avenue.
One factor to consider with regards to a single wholesale and retail website is not just competition from other businesses, but with yourself.
To avoid this from happening, sustain a loyal and strong relationship with your resellers, check reports, and offer different products from your own outlet compared to wholesalers.
Targeting two different types of customer can be tricky, especially if you are giving the wrong information and your team are not experienced enough to handle this with care.
Essentially, the average customer or end buyer in retail is sharing the same inventory and products as the business consumer. As a result, wholesaling is buying a larger number of products sold for less to retailers – affecting demand and inventory costs.
The solution? Evaluate the pricing of products, landing costs, and shipping prices to help stabilise your inventory.
So, know your strengths, weaknesses, and who you are as a brand when taking all options into consideration and deciding the level of control you desire for your business transactions.
If you’re a wholesaler looking to sell direct for the first time, get in touch by calling 0161 941 3469 or emailing us at firstname.lastname@example.org. Our team at JAW Digital can have you migrated, developed, tested and live and on the pathway to improved lead generation and sales in just 60 days.