5 factors to consider when selecting a wholesale marketplace

In today's fast-paced world, it can be difficult to keep up with which wholesale marketplace is best for your business. This article will dive into a few different wholesale marketplaces across different categories, in order to help you decide which one is right for you. 

What Are Wholesale Marketplaces?

Wholesale marketplaces are online platforms that connect retail buyers with wholesale suppliers. These marketplaces offer a convenient way for businesses to find the best products for their retail assortments.

There are many different wholesale marketplaces available, each with its own strengths and weaknesses. Finding the right marketplace for your brand can take some trial and error. But once you find a good fit, a wholesale marketplace can be a great resource to build and grow your wholesale business.

Here are a few of the most popular wholesale marketplaces right now:

Tundra

• Zero-Commission Model
• Aimed at connecting independent makers with small to medium-sized retailers
• To generate revenue, Tundra offers premium options at checkout, such as faster shipping, order insurance, and additional customs clearance and logistics services for international orders.
• Return policy: determined on a case by case basis by brands

Abound 

• Commission fees: 15% on new orders, 8% on reorders, 0% on orders from existing customers
• "Middle of the road" marketplace connecting independent makers with small to medium-sized retailers
• Return policy: initial purchase from a brand may be returned within 60 days of order, all other sales are final

Bulletin 

• Commission fees: 15% on opening orders, 10% on repeat orders, 0% on orders from existing customers
• Selectively curated marketplace with ~1500 brands and ~10,000 retailers
• Return policy: not accepted, but brands have a lower minimum order value (MOV) to help de-risk purchases

Handshake

• No commission fees
• Retailers buy from approved suppliers, currently only available domestically in the United States
• Monthly subscription to Shopify + credit card processing fees
• Return policy: at the brand's discretion

Faire

• Commission fees: 25% new orders, 15% reorders, 3% CC fee, 3% for immediate payout
• International marketplace with a global network of 450,000 retailers and 30,000 brands
• Return policy: your first order from a brand is eligible for a return. Returned items are resold through on Faire's marketplace.

NuORDER Marketplace

• Free for existing NuORDER customers
• International marketplace with a global network of 100,000 buyers and 3,000 brands, curated portals by vertical 
• Integrates with NuORDER platform to sync products, track inventory, and process orders
• Return policy: managed by brands

Factors to Consider When Selecting a Wholesale Marketplace

There are a few things to consider when you're looking for wholesale marketplaces to sell your products. Here are a few factors to keep in mind:

1. The marketplace's audience

Make sure the marketplace you choose has an audience that's interested in what you're selling. Is your audience mainly domestic or international? Is it targeted at small businesses or major retailers?

2. The marketplace's reputation

Research what people are saying about your marketplace of choice. How do they feel about the fee structure? How many orders can you expect in what time frame? What brands in your vertical are already active on the marketplace? You want to make sure you put the time into research and choose a reputable marketplace that will maximize your success. 

3. The marketplace's fees/payment structure

Some marketplaces charge fees for listing your products or for each sale, others charge for ad services on their site, so be sure to factor those into your decision when calculating returns on sales.

4. The marketplace's terms of service

Be sure to read and understand the terms of service before you list your products on any marketplace. Some only permit you to contact buyers through their in-platform mail service, while others are more lenient and open to communicating outside of their marketplace.

5. Your own needs and preferences

Ultimately, you'll want to choose a wholesale marketplace that meets your own needs and preferences. Will you be needing flexible shipping options? Buyer verification? You’ll want to dig deep into what these marketplaces have to offer, what their goals are, and how they partner with you to help you sell more.

Getting Started

Maximizing every available avenue to reach buyers is essential in today's digitally connected world. Getting your brand on multiple marketplaces can greatly bolster sales, and awareness about your brand.

While there are a variety of factors to consider before getting started, the pay-off can be significant once you find the right fit. 

Overview Of Key Features

• Commissions
• Additional fees
• Terms offered
• Shipping
• Returns
• Buyer Verification
• Buyer Communication
• International / Domestic Audiences

NuORDER Marketplace covers all your bases with buyer discovery, order management, payments, reporting, and marketing capabilities. It's built for products across all verticals, complete with an easy-to-use, customizable digital storefront. Interested in learning more about the NuORDER platform and its marketplace? Speak with a B2B sales expert today and build new retail connections today.