In this modern era, many new jobs can be done by all circles, whether experienced in their fields or not. Reseller are one of the popular job right now. This is based on the habits of customers who begin to switch to online buying and selling activities.
Many people consider being a reseller does not require a large capital. No wonder, this profession is a favorite of young people, even housewives to earn extra income. However, not a few also think that being a reseller does not provide maximum benefits. In addition, maybe you also often hear the term drops-hipper. The Drops-hipper business can be helped by Retail software that maximizes the operation of your retail business, from stock management, customers, marketing, sales to finance.
This time we will discuss about resellers and drop-shippers, and what benefits you will get.
Table of Content
- What is Reseller?
- Difference Between Reseller and Drop-shipper
- Advantages of Being a Reseller
- Disadvantages in Becoming a Reseller
- Types of Reseller
What is Reseller?
Maybe you’ve guessed the meaning of resellers. If we look at the name derived from re- and -seller, we can conclude that the reseller is someone who resale goods, both on social media and directly.
Then, why being in this profession mean that you can run a business with little or no capital? This is because resellers do not need to stock so many goods. In addition, resellers will get a special price that is much cheaper from the supplier to sell the product again.
Difference Between Reseller and Drop-shipper
In online purchase-sale activities, some drop-shippers are no less popular. Until now, there are still many people who do not know how to distinguish resellers from drop-shippers.
A reseller is a person who must buy his product first, the promotion can be done through catalogs or customer testimonials, and the delivery of products is done by the reseller itself.
Meanwhile, a drop-shipper is a person who must sell a product without having to buy and stock goods first, do promotions by providing a list of products sold, and the delivery of products will be done by the supplier directly to the buyer’s address.
To reduce purchase dissatisfaction from suppliers, you can measure the performance of suppliers based on quality, service, price, and so on. Automate purchase submissions and get the best offers from suppliers with procurement systems.
Advantages of Being a Reseller
There are several systems in resellers that give you an edge when you do a business. The advantage is that by stocking goods first, you can ensure the quality of the product from the supplier before it reaches your customers.
By becoming this profession, you will get more benefits because the supplier will provide the cheapest price for resellers to be resold. In addition, the time to work is flexible. Therefore, this profession can be an alternative for side jobs.
Disadvantages in Becoming a Reseller
There are several consequences that you must know in becoming a reseller. The downside is that your business will depend on the supplier. This means that if the supplier has a problem, there will be a possibility that your business will have disruptions as well.
In addition, you also need to spend money to buy the product from the supplier and the quality of the product remains the responsibility of the resellers.
Types of Reseller
1. Replica-web model
This model is a system where resellers will be given a replica of the web as a container for promotion and sale. When a reseller successfully makes a sale through the website, then the they will get a commission.
This model usually requires a member registration system first to use their website to sell freely.
2. Revenue-sharing model
This model is the most common business model. The system is that when you become a reseller of a supplier, there will be a distribution of results according to the agreement and will be accumulated with the products you successfully sell.
3. Purchase-sale model
This reseller model requires resellers to purchase products from suppliers first. Usually, the supplier determines the price and quantity of products that the reseller must buy. In this system, resellers can use various facilities available and get special offers from suppliers.
4. Guarantee model
In this model, the supplier will set some costs that the reseller must pay. This fee is useful as a guarantee in the business of both parties to have losses in case something is not desirable.
5. Alone-web model
This model runs by giving resellers the freedom to manage sales websites. This system also still provides a much cheaper price to resellers.
After reading this article, are you sure to go about your business as a reseller? Everything does provide benefits, but there are also shortcomings that you must know and accept. Reseller is a suitable profession for those of you who want to increase income without having to take a lot of time.
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