The Difference Between Resellers and Retailers

Whether it’s buying and selling old video games at garage sales, or sourcing products to sell on the internet the reselling model is used by a variety of people as a way to earn money. But if you’re looking for more than just an easy buck, selling might be a better option.

A retailer purchases products from a wholesaler or distributor and then sells them at a more expensive price to the end-user. This can be done via marketplaces on the internet like eBay or Amazon, or through traditional brick-and-mortar stores. Retailers typically offer unique value-added services, such as customization and technical support.

Resellers buy items, then sell them at a discounted price to the end user and typically, they sell the product at less than the original cost. Resellers can be found in every industry and are generally less customer-focused than retailers. They can also rebrand or modify the packaging of products using private labels and sell products to retailers or directly to consumers.

A key distinction between retailers and resellers is that retailers sell their products to the end user, while resellers focus on selling to other businesses. This can be particularly advantageous for businesses that have little capital to invest in purchasing large quantities of products. Additionally that retailers are able to offer a wide assortment of products and services in one location, whereas resellers tend to concentrate on reselling a specific item to customers.