HOW TO COMPETE IN CROWED MAKET WITH MUTIPLE PRODUCTS

Make sure you’re not buying from Middleman Unfortunately, a common mistake made when sellers decide to start purchasing wholesale products to resell they often get caught in the trap of the “evil middleman scenario”. The Product Supply Chain is how a product gets from the manufacturer to the end consumer, your Customer. When it’s working the way it should, it goes like this: Manufacturer -> Wholesaler -> Retailer -> Consumer Many people have the mistaken impression that the second link in the Chain, the wholesaler, is a Middleman, because they are in the middle, between the manufacturer, and you, the retailer. That’s not true. The Wholesaler, the second link in the Product Supply Chain is there for a very important reason; manufacturers don’t have the infrastructure to actually sell and deliver small numbers of their products directly to you, the retailer. Real wholesalers provide that infrastructure (warehouses, order systems, delivery trucks, account representatives, etc.) for the manufacturer. So, link two, the wholesaler, is a legitimate wholesale supplier, not a Middleman. Here’s an example of where an illegitimate Middleman fits into that Supply Chain: Manufacturer -> Wholesaler -> MIDDLEMAN -> Retailer -> Consumer A Middleman is someone who takes your place in the Product Supply Chain, and bumps you down a link. They try to make you believe they are Link Two in the Chain (a wholesaler), when they are really Link Three (a retailer). Sometimes, it’s worse than that. You could end up dealing with a fake supplier who is actually three or four links down the Chain. How does that effect you? It hits you where it hurts. Right in the profit margin. For every link you, the retailer, drop down in that Chain, your “wholesale” prices go up, and you earn smaller profits. You need to be buying your products from a REAL wholesale supplier that works directly with the product manufacturer. Otherwise, you profit margin will suffer