To be a wholesaler of electronic cigarettes is to buy in large quantities to resell to retailers and small shops. In addition to having an adequate stock as well as services adapted to its customers such as on-time supply, a wholesaler must also and above all be able to supply suitable quantities. If quantities are too large, small retailers will not be able to supply themselves. The wholesaler must then allot his products in the best way to satisfy his customers while disposing of his stocks.
Most retailers get their supplies from a wholesaler so that they can find many products at attractive prices and have them delivered all at once. That’s all the advantage of being a wholesaler. But the latter must be able to sell sufficient quantities which should not be too large. A wholesaler buys directly from the manufacturer at wholesale prices since the quantities are generally very large. On the other hand, a retailer or a merchant buys smaller quantities because it would not be useful for a small shop to have a stock of 1000 identical products. The wholesaler must then compose lots so that each customer can order the quantity that suits him. This is the principle of allotment.
It is simply a matter of a wholesaler buying a product in large quantities and offering it for sale in batches. In the field of electronic cigarettes, e-liquids are for example very often offered in batches of 5 or 10. In this way, by buying 2 batches of e-liquids, you will get 10 or 20 vials. Allotment is essential for a wholesaler because some shops cannot or do not want to buy in large quantities. Indeed, some will prefer to sell few products but in sufficient quantities, while others will opt for a varied offer but with little stock on each reference. Allotment is therefore an excellent solution to satisfy every retailer, regardless of their store strategy.
Another benefit of the allotment is the ease of shipping. A wholesaler must manage a large stock as well as numerous orders, so it is not possible to sell an isolated reference. Sending products in batches of 5 or 10 eliminates the need to open the boxes to remove one or two references. Order preparation is therefore faster but it is also an advantage for the reseller who does not receive his products alone but in closed and tidy boxes.
For a reseller, batch selling is not a good solution because it would force consumers to buy the same equipment several times. On the other hand, for a wholesaler, this not only makes it easier to sell but also to offer advantageous prices while having the possibility of sending whole boxes.
Of course, the allotment must be adapted according to the sector. A wholesaler of gardening equipment will not sell wooden planks in sets of 5 as it would make no sense. However, in the electronic cigarette sector, this step is essential. There are many references whether in terms of e-liquids or materials and every day, new products are emerging on the market. Most shops offer new products for sale but in very limited quantities so as not to have too much stock to sell. Selling individually or in small batches must therefore be facilitated by the wholesaler. In this way, each retailer can order the references they wish to sell in quantities adapted according to their clientele and the size of their store.
The wholesaler makes the link between the manufacturer and the reseller, so it is essential for many shops. But since he buys in bulk, he must also be able to offer reasonable and suitable quantities so as not to lose customers. In conclusion, allotment is one of the imperative tasks of a wholesaler, particularly in the field of electronic cigarettes. Dividing large quantities to resell them by unit or in small batches makes it possible to satisfy the greatest number of clients. Small shops will be able to benefit from a wide and varied offer without buying too many references and large resellers will be able to buy several lots in order to have sufficient quantities on the most important references. This is once again proves that a wholesaler does not only sell but develops a real strategy to facilitate orders! Between stock management, product selection and deliveries, there is a real link in the supply chain.