What are the different types of trading

Kinds of wholesale

Table of Contents

Purchase wholesale

The buy-in wholesaler buys raw materials from agriculture, forestry and mining (eggs, grain, wool, cotton, wood, ores, etc.). But it also collects used material and waste materials (waste paper, scrap, scrap metal, etc.) and sorts them to the relevant branch of industry as raw material.

Manufacturing B2B

The industrial B2B sector intervenes between the various stages of manufacture, between industry and industry. He supplies z. B. As a wholesale trade with semi-finished metal products, the metal processing industries and craftsmen with sheet metal, strips, wires, tubes, etc.

The so-called third-party business often occurs in the production mail order business. The manufacturer delivers directly to the buyer on the instructions of the wholesaler without the goods being stored at the wholesaler.

Sales wholesale (consumer goods wholesale)

Finally, the wholesale trade (consumer goods wholesaling) is a trade in finished goods that are intended for consumption. His field of work includes practically everything that the consumer needs:

  • he takes over the stockkeeping and enables his customers to keep their stock small and not to set up capital unnecessarily
  • from the abundance of products from many manufacturers, he selects those that come into question for his customers (product range). This saves you from having to deal with hundreds of specialized suppliers
  • On the one hand, it finances the manufacturing companies, for which it relieves the sales risk by purchasing large items, and, on the other hand, the retailers, to whom it generally grants a target of 30 to 90 days

The wholesale business is divided into:

Assortment wholesale - The wide range includes different product groups (e.g. food wholesalers);

Specialty wholesalers - The wide range includes different qualities of a certain product (e.g. wine wholesalers).

Business forms of sales wholesale are:

Delivery wholesale - The wholesaler supplies the retail companies.

Cash and carry system - The cash-and-carry system ("pay and carry away"). Here, wholesalers have adopted the principle of self-service discount business based on the model of food retailers. These establishments are frequented by the food retailers, the catering industry and the food trade. Many cash-and-carry businesses have given up their original objectives in recent years and have become hypermarkets.

Rack jobber method (rack jobber) - The rack jobber method has recently become more important. The job of the rack jobber is to supply supermarkets, hypermarkets and other retail businesses with goods from the supplementary range (e.g. perfume). Rack jobbers usually deliver this supplementary range with the associated advertising material on commission. The range is constantly changing in order to offer buyers new incentives to buy.

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