How to increase wholesale sales: the best ways and methods

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Wholesale is the sale of a large number of goods to different retailers, and not to final consumers. Many firms specialize in such work, and they act as intermediaries between manufacturers and retailers. Each such organization thinks about how to increase sales in wholesale trade, since the amount of profit received depends on this. To increase sales, you can use different tips and methods, and it is advisable to use several methods together.

Features of wholesale sales

Wholesale organizations do not cooperate with direct buyers, therefore they specialize in retail firms. Such companies are large intermediaries, so they cooperate with numerous manufacturing and retail enterprises. Wholesale features include:

• goods are purchased at a low price directly from manufacturing companies, and through substantial purchases, you can get a significant discount;
• purchased items are always resold, sonot used for processing or manufacturing activities;
• wholesalers always buy large quantities of goods, and also offer retail counterparties a wide and rich assortment;
• wholesale organization works with a huge number of retail stores;
• the company covers most of the market, so it can specialize not only in one region of the country, but also in several cities at once.

Since this activity has many specific features, business owners must be well versed in how to increase sales in the wholesale trade. To do this, you can use not only standard and proven methods, but also introduce innovative and modern methods.

Rules of the sales department

Any owner of a wholesale organization is interested in how to increase sales in the wholesale trade. For this, a special department should initially be created, aimed at increasing the profits of the company. This department should operate according to the following principles:

• the focus is on the direct customer, not the profitability of the business, so you need to focus on the needs and desires of retail stores;
• especially much attention is paid to cooperation with dealers and distributors;
• price policy should be built in such a way that regular customers can count on discounts or other unique offers;
• individual employees of the company must constantly search fornew customers;
• it is important to regularly monitor the offers and changes in the work of competitors in order to use your competitive advantages if necessary;
• necessary to constantly analyze the feedback left by customers, as this will prevent the loss of large and regular customers;
• sales professionals should evaluate potential customers, because on the basis of a properly conducted research, you can decide on what methods you can increase sales;
• work should be done not only with regional, but also with federal networks;
• price policy should be transparent and understandable for every potential customer;
• managers should be offered rewards for overachieving.

Thanks to the above principles, any wholesale organization will be able to count on a constant increase in profits. Sales management in wholesale trade should be carried out by a special department that will focus on working with customers and suppliers. In fact, there are many ways to increase revenue. But it is not always possible to use certain methods, since the specifics of the work of the intermediary are taken into account.

Change assortment

The most popular way to increase sales in wholesale is the expansion of the proposed range. To do this, a search is made for new suppliers who offer interesting products. Additionally, you can find manufacturing companies thatsell various goods at low cost.

By increasing the range of wholesale organization will be able to enter new markets, as well as gain certain advantages over competitors. Since the purchasing power of the population is falling, the following rules are taken into account when choosing new goods:

• The cost of new products should not be too high;
• service and warranties should remain the same;
• products should be of interest not only to retailers, but also to direct consumers;
• if a company initially specialized in high-value goods, it can introduce items at an average or low price into the range, which will allow it to enter new markets.

Due to the increase in assortment positions, you can count on an increase in the number of customers.

Change in pricing policy

The cost of selling in the wholesale trade is quite high, as enterprises are forced to cooperate with a huge number of manufacturing and retail enterprises, so there is a need for many workers who receive high salaries. Additionally, it is often wholesalers who offer the delivery of goods by their own transport. Therefore, the markup on resold goods is considered high.

Change in pricing policy can lead to increased sales. Not always such actions are associated with the usual reduction in prices, since sometimes it is enough to simply make the pricing policy transparent so that it becomes clear to direct retail buyers. Additionally, you can offer large customers significant discounts, rewards or other profitable offers.

Working with your own employees

If a business owner is thinking about how to increase sales in the wholesale trade, then this indicates that his employees are not dealing with this issue. Therefore, it is under such conditions that it is advisable to start working with hired specialists to create a team spirit. Each employee of the enterprise should try to increase sales. To do this, you need to use different methods of motivation.

If the salary of managers working in a wholesale organization will depend entirely on the volume of sales, then all employees will work in such a way as to increase their income. Motivation can be not only material, so it is desirable to additionally highlight the most successful managers through praise, certificates or prizes.

Ongoing employee training

How to increase wholesale sales? To do this, it is advisable to employ only experienced and talented managers. It is not always possible to lure such specialists from other companies, so any wholesale organization can train its employees on its own. In order for the work of each specialist to be successful and productive, the employer must remember the following points:

• managers must always undergo additional training, so the head of the company is obliged to send employees to refresher courses, varioustrainings or other events aimed at training and development of specialists;
• Tests are regularly conducted, the main purpose of which is to test the knowledge and skills of the employees of the enterprise;
• The direct employer must have the skills to test employees, for which the company introduces different criteria for evaluating the performance of specialists;
• if management really notices that a certain employee is not up to the task and is not interested in increasing sales, then they need to say goodbye.

Some wholesale companies even try to poach experienced managers from other enterprises. For this, a higher salary and interesting conditions for cooperation are offered.

Carrying out a quality advertising campaign

It is not always in wholesale trade that the sale of goods is accompanied by an offer to customers of a large number of goods. Some firms specialize in only one or a few products. Under such conditions, it is advisable to conduct a high-quality advertising campaign.

You can advertise a product in two different ways:

• Initially, a wholesaler may target retailers who may be interested in promoting the product;
• the second method is to advertise the product directly to consumers, who will independently look for it in retail stores.

The second method of increasing sales is considered the most effective. ForTo conduct a high-quality advertising campaign, it is advisable to use different methods, which include creating a television commercial, advertising on the radio and working on social networks and the Internet.

Especially much attention should be paid to the promotion of goods on the Internet. Many people like to learn a lot about a product before buying it, so there should be a lot of positive feedback on the web about the item being sold. A high-quality advertising campaign can significantly increase sales in the wholesale trade. The method requires a significant investment of funds, but it quickly pays off due to the interest of customers and consumers.

Using cold calling and telemarketing

Each wholesale organization is interested in how to increase sales in wholesale trade, since the income of each employee and manager depends on this. To do this, it is important to increase the client base, and for this you can use different methods.

Now it is expedient to use telemarketing, which consists in the fact that sales specialists use the Internet to find numerous retailers that are potential customers. Next, cold calls are made, the main purpose of which is to identify the company's need for cooperation. When communicating with a representative of a retailer, it is important to talk about the benefits of purchasing a particular product, about the discounts offered and other benefits of cooperation.

Except callsyou can use direct marketing, which consists in sending commercial letters to potential customers with a proposal to sign a contract. To prevent such emails from being regarded as spam, you need to reduce the number of recipients. It is necessary to concentrate exclusively on retail enterprises that can really become future customers. At the same time, you need to constantly keep track of wholesale sales in order to note which methods have a positive effect on revenue.

General approaches to increase profits

The owner of any wholesale business must understand how to increase sales in the wholesale trade. Therefore, some standard recommendations are necessarily taken into account, which include:

• even if a firm is making high profits, it must still constantly study competitors' offers and monitor various changes in the market;
• the company must adapt to all changes in the market, which is the key to high profits;
• the sales team aims to increase the number of customers regularly, even if the profit is already high;
• necessarily in a large company must have a marketing department aimed at identifying customer needs and sales promotion;
• Especially much attention is paid to the development of competitive advantages, for which you need to know the weaknesses of competitors.

If the company's management will take into account the above rules and features, then you can beconfident in the continuous development of the enterprise.

Accounting rules

Accounting for sales of goods in the wholesale trade must be carried out by the relevant department. For this, the following recommendations are taken into account:

• special computer programs are used, the main purpose of which is to track the number of goods sold, customer activity and sales revenue growth;
• specialists should be engaged in the construction of graphs, with which you can visually understand how the results of the enterprise are changing;
• regularly employees of the department draw up special reports submitted to management, and on the basis of these documents the director will be able to understand what factors influenced the change in revenue;
• if profits start to fall, then specialists should quickly begin to use certain methods of sales promotion.

Constant sales tracking, tracking competitors and finding customers is the key to the success of any wholesale business.

Conclusion

Every company owner should know how to increase sales in wholesale. This depends on the profit. To increase revenue, you can use various unusual methods, which consist in conducting an advertising campaign, increasing the range and changing the pricing policy.

When promoting goods, a wholesale organization can focus not only on retailers, but also on end consumers.