Buying from Wholesalers and Manufacturers?

Loskilla on 08/03/2020 - 18:59

Dear OzBargainers,
I have been visiting OzBargain's deals section on and off for around 2 years now, and it's really helped me, as I am a student. Recently, I have come to the conclusion that it would be best to purchase from wholesalers and manufacturers to avoid the markup from retailers, and the potential long waits for deals to come along, so I have begun exploring potential ways we could buy directly from wholesalers and manufacturers. But the only thing I can think of really is to do something like a group buy, which just seems like a huge hassle, and doesn't seem too feasible logistics wise.

So my question to you guys is, if you have any experience buying from wholesale/manufacturers, how did you do it? And, if you have any experience dealing with group buys, how was it?

Thank you!

General Discussion

Comments

  • serpserpserp on 08/03/2020 - 19:03

    a group buy, which just seems like a huge hassle, and doesn't seem too feasible logistics wise.

    Don't knock it till you try it. It is a fine solution.

    • oskilla on 08/03/2020 - 20:04
      +1

      Hi serp, thanks for your reply. What do you mean? From the research I have done, I'd have to find a large enough group of interested buyers, and there's the problem of distributing the goods. Of course, ultimately, I have to try it out before I can judge, but the research isn't too promising…
      How have your experiences with group buying been?

  • Ocker on 08/03/2020 - 19:14
    +3

    Manufactures/Wholesalers do not want the hassle of dealing with consumers in small(er) retail size quantities. Best try an approach to a retailer and ask for a volume discount

    • oskilla on 08/03/2020 - 20:05
      +1

      Hey Ocker, thank you for the suggestion. That's what I have seen a lot of people on this forum doing, so I might give that a go. Thanks!

  • PVA on 08/03/2020 - 19:19

    Just contact them and ask.

    But do you want to buy a pallet of baked bean or beer at one go? They won’t sell one item or even a box.

  • spackbace on 08/03/2020 - 19:23

    What are you trying to buy?

    • oskilla on 08/03/2020 - 20:14

      Hey Spackbace, currently thinking maybe electronics, but ideally, if I could do this for everything that'd be awesome haha..

      • [Deactivated] on 10/03/2020 - 19:10

        What bulk electronics do you want?!

  • dcep on 08/03/2020 - 19:29

    massdrop way

    • oskilla on 08/03/2020 - 20:08

      Hey phunkydude, what do you mean?

      • blitz on 08/03/2020 - 23:19

        massdrop does what you are proposing.

  • Ughhh on 08/03/2020 - 19:33
    +4

    But the only thing I can think of really is to do something like a group buy, which just seems like a huge hassle, and doesn't seem too feasible logistics wise.

    It's precisely the reason why wholesale is cheaper than buying from retail stores. Retail stores have buying power if they purchase large quantities, and they're responsible for dealing with customers like you.

    Even with groupbuy,there's going to be one middle man responsible for the logistics, and chances are, you'll want to be paid for the work/hassle.

  • Neoika on 08/03/2020 - 20:37

    If you have several workaround flybuys/WRewards cards to take advantage of the weekly offers (typical 20-30% back in points), I believe you essentially pay wholesale price for your shopping cart.

    https://www.ozbargain.com.au/node/521974

    https://www.ozbargain.com.au/node/518593

    • serpserpserp on 08/03/2020 - 20:47

      I believe you essentially pay wholesale price for your shopping cart.

      You don't. You'd be surprised on how much mark up is on supermarket goods.

      • Neoika on 08/03/2020 - 21:00

        Wholesale/Manufacturer price does not mean base cost. All business set a markup price.

        The way I talk can guaranttee one get similar products for lower price than Costco that boasts wholesale price.

  • decryption on 09/03/2020 - 07:33

    I've tried doing this lately and found the the wholesalers are reluctant to give big discounts for one off orders, even if they are large. They won't run the risk of upsetting their existing retailers by allowing you to undercut them on price.

  • Pikaloo on 09/03/2020 - 08:32

    They're unlikely to do it because it undercuts their distribution channels and that would mean stores like Good Guys would not be willing to sell their products if the manufacture is undercutting them. Thus, the manufacturer loses sales.

  • Zachary on 09/03/2020 - 20:33
    +2

    Some wholesalers and manufacturers charge RRP when dealing direct to customers,…so it's no better than just buying it off a retailer directly for convenience…

  • Alan6984 on 10/03/2020 - 07:06
    +1

    Having worked at, and in the past, owned, a wholesaler, I can tell you that, in general, they won't want to sell to you - they will likely lose money on it.

    Even selling at 'RRP', often the time and effort costs more than the margin for a small sale, plus you're likely to annoy your loyal customers who buy large volumes from you each month, and are easy to deal with, whereas consumers…. often aren't.

    Alan.

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