Learning how to become a wholesaler has a learning curve but can pay off with the right tools and knowledge. It's important to know how to get a wholesale license too, so you can conduct business legally.
Once you’ve decided on which wholesale items to sell, it’s time to find service providers. The companies you research may vary widely depending on whether you sell goods to retailers, consumers, or both. It’s important to understand how wholesale partnerships work so you can make the most of your time and money.
How Do I Find Wholesale Suppliers?
At times, trying to find wholesale suppliers can feel like learning a new language. There are thousands of suppliers operating globally, and the most trusted companies usually limit their number of partners. With the help of our guide below, you can find the suppliers you need.
Before we look at how to find the service providers you need, it’s important to understand how wholesale suppliers, vendors, and distributors are different, and the role each plays in the wholesale supply chain:
- A wholesale supplier is a company that first manufactures or produces a part, material, or product. They are the point of origin for goods and materials and sell their goods to vendors.
- A wholesale vendor is a company, service, or website that offers suppliers’ goods for sale. Vendors are aggregate sources of numerous wholesale suppliers and usually have their own branding.
- A wholesale distributor is a company that purchases wholesale goods and resells them to retailers or consumers. They are the final step in the supply chain before a public sales environment is determined.
Now that we’ve clarified who does what, we can look at where to find wholesale suppliers and vendors:
- Browse online wholesale directories. These websites list hundreds or thousands of suppliers, often from a range of industries. While it’s the fastest way to find current suppliers, it’s not always the best. Bear in mind that some directories allow anyone to list products and therefore may be low in quality.
- Attend trade shows, either locally or internationally. Hundreds of suppliers and vendors gather at industry events each year. The Global Sources Expo and Canton Fair are two of the most prominent. This is the quickest, high-leverage way to get in touch with proven vendors and suppliers. It’s also faster than using weeks-long email correspondence if you live in different time zones.
- Use supplier databases. There are numerous sites dedicated to providing supplier information. Use category, pricing level, and other filters on the site to narrow down what you’re looking for.
Knowing how to find wholesale vendors is similar to the process for wholesale suppliers. Here are some tips to aid your search:
- Perform online searches for vendors. There are multiple vendor sites with established reputations, like GlobalSources, Alibaba, and Jungle Scout. These B2B eCommerce platforms offer detailed info on wholesale suppliers with a few clicks of your mouse. BlueCart is used by tens of thousands of wholesale suppliers and buyers for all types of products. Book a demo to learn how you can start selling on BlueCart, or connect with wholesale suppliers.
- Research your competitors’ methods. All goods imported to the US are recorded in the US customs database, which is freely accessible. By looking through which companies imported what goods, you can see where your competitors are sourcing from. This may reveal lower-cost alternatives.
- Subscribe to relevant publications. Most industries have quarterly or monthly publications with troves of info. This is a powerful, inexpensive way to discover vendors, companies seeking partnerships, and advertising opportunities.
- Browse forums and online groups. People with similar goals tend to share tips, and they often congregate in forums. Once you get to know a few people, they’ll be more likely to offer personal recommendations for vendors.
How to Find Wholesale Distributors
If you’re a supplier or vendor, you probably want to know where to find wholesale distributors. This process is similar to finding suppliers and vendors:
- Determine the type of wholesale distributor(s) you need. Some wholesale distributors are middlemen between suppliers and retailers, others are dedicated resellers. The type of distribution you need will depend on your goals as a supplier.
- Maintain strong visibility at trade shows. Up-and-coming wholesale distributors know that they need to form relationships with suppliers. By attaining premium floor space and being friendly, you’ll have plenty of new opportunities.
- Search business directories, chambers of commerce, and local listings. Since business owners must register with their state, cities and towns list the businesses online. Between your own state’s listings and nationwide sources like Yelp and Synup, there are hundreds of business owners to reach out to.
- Browse sites like Amazon, eWorldTrade, and eBay. It should come as no surprise that hundreds of people engage in online wholesale trading. You can find more people and businesses to sell your products by examining product listings similar to your own.
How to Find Wholesale Deals
The wholesale industry includes many different approaches, but the common theme is buying and selling goods in mass quantities. Since buying many units can get expensive, this prompts businesses throughout the supply chain to look for deals year-round.
Obtaining materials at the best wholesale price possible directly benefits your bottom line. You won’t need to order products as often, which means you can spend more time on B2B marketing or DTC marketing, sales, and customer service.
Knowing how to buy wholesale deals includes resourcefulness, timing, and business savvy. Here are some places to look:
- Supplier websites and newsletters. Suppliers run deals frequently to encourage purchases and remain profitable. These are perfect opportunities to stock up on goods and prepare in advance for seasonal sales cycles.
- Wholesale directories and industry websites. Any wholesale directory has every incentive to partner with successful businesses, so they will often spread the word about current deals. This cuts down on the amount of time resellers need to spend researching deals, too.
- Local events and trade shows. It goes without saying, but many suppliers and vendors advertise their deals during trade shows. These events draw thousands of people and benefit suppliers, vendors, and distributors.
- Clearance, import, and closeout sites. Sometimes consumer demand changes and businesses are left with large amounts of unwanted goods. Browsing clearance and closeout websites can yield amazing deals that buyers otherwise won’t seek out. It all depends on the type of products being offered, of course. Don’t buy something just to have it in your inventory.
How to Find Wholesalers for Dropshipping
If you’re looking for more convenience and fewer costs, you’re likely wondering how to find wholesalers for dropshipping. If dropshipping isn’t a familiar term, it’s the process of using a third-party service to create, pack, and ship goods that you sell via eCommerce software (see how does dropshipping work).
This method allows you to run a business without warehousing or inventory management, because you only send a product when the customer has already paid. Due to the popularity of dropshipping within eCommerce business ideas, dropshipping wholesalers are more prevalent than they’ve ever been.
The easiest way to find these service providers is by searching online. Each dropshipping wholesaler is slightly different in what they offer and the brands they carry, so take your time as you research. Here are some popular dropshipping providers:
- Sunrise Wholesale
- Dropship Direct
- Wholesale Central
How to Find Wholesalers for Online Business
Finding wholesalers for your online business can be challenging. When you’re starting an eCommerce business, it’s difficult to know which businesses are worth partnering with. Suppliers want to know that you’re credible and have the resources to sell products, which can be a barrier to entry at the very beginning.
With that said, there are best practices to use when researching wholesalers for your online business:
- Thoroughly vet suppliers. When you’re looking on a site like Alibaba, Worldwide Brands or an eCommerce marketplace or B2B marketplace, evaluate a company’s track record. Do they have a high delivery rate? Have they been selling for multiple years? Is their transaction rate high? The answers you uncover will determine if they’re worthwhile.
- Seek out references. If a product’s details seem too good to be true, it doesn’t hurt to ask other business owners about that company. You may discover the brand is excellent, or that something strange is happening. Asking for references is also a strong way to leverage trust between parties in general.
- Ask about their eCommerce business license. Anyone you’re dealing with should be above board, so they shouldn’t shy away if this comes up in conversation.
- Start small. If things look good and you’re ready to start selling, purchase their minimum order quantity (MOQ). This gives you first-hand experience with their turnaround times and how much demand you can generate for their products.
- Discuss their RMA process. In the unlikely event you need to return products, your supplier should have a return merchandise authorization process, or RMA. Knowing this in advance will help the process go smoothly.
- Research product-specific outlets. The rate of eCommerce growth over the last few years has given rise to many platforms’ specialization. Websites like Printful, LA Show Room, and Wholesale Fashion Square are known for their wholesale dropshipping and apparel opportunities, respectively.
Developing a mutual business relationship that leads to strong wholesale sales can be the beginning of a promising career. Remember that it’s best to take your time in forming a relationship than wish you hadn’t started it. Not all companies are equally ethical or hardworking, so maintaining a sense of value is crucial in this industry.
Having a strong wholesaling partner in place makes it easier to build a comprehensive wholesale marketing strategy and achieve a high fill rate. Be scrupulous, watch for deals, and you’ll be off to the races.