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Both retailers and resellers are businesses that buy stocks, sell and purchase products to make a profit. They can be found online, in brick-and-mortar shops or both. They buy from wholesalers or distributors, and then resell the items to businesses or consumers. Although a variety of types of resellers exist but there are two main types: Private Labeling and Dropshipping. Private labeling is where a reseller rebrands the product of a manufacturer, adding their own logo, name, and packaging. This type of reselling takes place often in the tech industry where a computer maker may offer both their own hardware and third-party accessories or software.
Bundling is another type of reselling. Bundling is the process where a reseller bundles similar products from different companies to make a package that is attractive. For instance, a reseller might buy digital cameras, memory cards, and Photoshop Lightroom software from different manufacturers to make an item that will help new users get started with digital photography.
Retailers typically buy in bulk from distributors or wholesalers, and then sell the items at a higher price to consumers. They also sell through marketplaces on the Internet, such as eBay or Amazon. Retailers often offer value-added services such as technical support and customisation. They can also charge additional charges such as handling and shipping fees. Home Depot, for example, might be more expensive than Walmart because it owns its own retail store and is able to handle logistics like storage and delivery.
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