E-Commerce Dictionary
Wholesale
Definition
The sale of goods in large quantities to be retailed by others.
Deep Dive
Wholesale refers to the business practice of selling goods in large quantities to other businesses, rather than directly to individual consumers. These transactions typically involve manufacturers or distributors supplying products at a lower unit cost to retailers, resellers, or other commercial enterprises, who then mark up the price for resale to the end-consumer. It forms a critical intermediary step in the supply chain, facilitating the efficient distribution of products from producer to market.
Examples & Use Cases
- 1A clothing manufacturer selling hundreds of units of a new garment line to department stores and boutique shops
- 2A food distributor purchasing pallets of fresh produce directly from farms to supply grocery stores, restaurants, and catering companies
- 3An electronics wholesaler providing bulk quantities of laptops, smartphones, and accessories to corporate clients, educational institutions, or small tech retailers.
Related Terms
RetailSupply Chain ManagementDistribution ChannelB2B (Business-to-Business)