How to Find a Wholesaler for Your Retail Business

Choosing the right supplier will play a major role in your businesses success. Throughout your business’s lifetime, you may work with one wholesaler or even several. It is no secret that finding the right partner is tricky.

The right wholesaler will be trustworthy and reliable, but it takes time and research to find the best options. To start off, here are 4 practical tips to help you create a list of potential partners.

4 Practical Tips to Finding a Wholesaler

Check Online Directories

Online directories are a great way to find wholesale suppliers that source an array of different products.

Here are three popular online directories for wholesale suppliers in South Africa:

YelloSA: Apart from the user-friendly design, YelloSA has over 800 000 companies listed.
Best Directory: Best Directory provides numerous business categories, making it easier to find a good match.
Brabys: With over 1 million monthly visitors, Brabys is one of the most established business directories in South Africa.

Brabys Online Search Directory

Search online

As you might have noticed, not all websites are search engine optimised. As a result, they may be overlooked by Google’s algorithms. So when doing your search, you might need to check what sites are hiding beyond the first page.

To help you refine your search query, try using specific keywords that you’re looking for. For example, adding your location to the query will help you identify local suppliers. Google also provides related searches so you can see what other people are looking for.

Related Searches for Local Tool Wholesalers

Reach out to a local network for referrals

Reach out to other businesses and ask if they have any specific supplier recommendations. Even if your contact does not have any referrals, they may know someone else who does.
Although some businesses will be less willing than others to disclose their sources, networking has great potential!

Try participating in online forums whereby other professionals in your industry can offer some insight. You might even build your professional connections. If the suppliers or connections you have contacted don’t meet your needs, ask them if they can provide any suggestions for suppliers who might be a better fit.

When looking for an online platform, try exploring Linkedin. Linkedin was specifically designed for business professions to interact, making it easier to build supplier connections. You can search for potential suppliers by joining groups, searching for relevant keywords and reaching out to people in your network.

Keep an eye out for trade shows

Trade shows are a great way to discover potential suppliers. Trade shows allow manufacturers and wholesalers from different industries to showcase their products and services.

Attending a trade show will give you an opportunity to have direct contact with suppliers. Here you can ask essential questions and build personal relationships. Depending on the supplier, they may even offer special deals.

Criteria for Selecting a Wholesaler

Once you’ve drawn up a list of potential wholesalers, it is time to reach out. When making contact, be specific about what you’re looking for and communicate your business’ needs.

To give you a hand, we have created a list of things to consider:

Review lead times

Lead times give you an understanding of how quickly you can expect to receive your orders. A reliable wholesaler will deliver the correct products on time, ensuring that your business runs smoothly and maintains customer satisfaction.

It is important to ask any potential wholesalers how much time they require during normal business periods versus busier periods. Understanding how lead times fluctuate throughout the year will help improve your planning.

Minimum order quantity

The minimum order quantity (MOQ) refers to the lowest amount of stock order you can purchase with a wholesaler. This is particularly important if you are a smaller business with a limited storage and budget.

Some wholesalers will be willing to lower their MOQ or offer discounts on large orders, so don’t be afraid to discuss your limitations.

Consider buying samples

It is wise to do your due diligence when evaluating the quality of products. One way to do this is by obtaining samples from a potential wholesaler. Many wholesalers will allow you to place sample orders despite their MOQ.

Samples will allow you to test the quality of a wholesaler’s products without having to make a big financial commitment.

Determine scalability and distribution capacity

Ultimately, the size of your business will determine what size wholesaler you should be looking for. If you are looking to procure unique or specialized products, you may need to seek out a smaller wholesaler in comparison to if you were selling products in bulk.

Larger wholesalers may have more advantages in terms of product variety, delivery vehicles or insurances. Whereas smaller wholesalers may provide better service and prices as they recognise you as an important customer.

Apart from your current needs, you need to consider your businesses projected growth. If you expect to increase your product base, you may need to choose a wholesaler that can fulfil your business’s growing needs.

Location

Unless you decide to partner with a large wholesaler, chances are a more local supplier will do. The location of a wholesaler will essentially influence factors such as price, delivery time and perhaps shipping costs.

Service level agreements

A service level agreement (SLA) stipulates the service a supplier agrees to provide as well as the standard at which it is provided. Oftentimes, this agreement will also outline the suppliers responsibilities and commitments they intend on making.

An SLA benefits both parties as both are afforded certain protection and guarantees. From the suppliers perspective, this agreement may help to retain customers and mitigate certain risks. And from the clients perspective, a SLA provides peace of mind with regards to any losses or expectations.

Brand suitability

When making a decision, the reputation and experience of a wholesaler should come to mind. A good reputation indicates that the wholesaler has a lot of experience in the industry and prioritises quality service.

In addition, consider factors such as environmental impact and charitable contributions. If your business is known for being eco-friendly, for example, consider whether your potential wholesaler shares these values.

Bottom Line

Once you have compiled a list of potential wholesalers and feel confident in your research, it is time to reach out and start placing orders! Although this might be a bit daunting, don’t spend too much time on the process.

And remember, not every wholesaler you pick will be the best. Over time you will gain more experience and expand your professional network. You may even end up changing suppliers along the way or use several. At the end of the day, the goal is to improve your bottom line and grow your business.