Services of wholesalers to manufadcturers and retailers

Services rendered by wholesalers are:
Services to Manufacturers

Concentration of Production: Wholesalers relieve he manufactures form the anxiety of selling their products install loss to widely scattered retailers. As a result manufacturer’s ca concentrates better on manufacturing activities. Wholesalers maintain a sales force who contact, persuade a sell products of different manufactures to retailers. Producers need not spend much on advertising and publicity.

Easy Distribution: Wholesalers serve as the distribution agents of manufactures. They help producer’s insider distributions of goods through retailers. Wt the help of wholesales. Manufactures can distribution of goods through repairs. With the help of wholesalers, manufactures can reach customers scatter over all parts of he country.

Economies of Scale: Wholesalers collect small orders foresails and buy goods in bulk from manufactures. This enables manufacturer’s traduce goods on large scale and minimize the cost per unit by employing modern technology.

Warehousing: Wholesalers maintain large stocks of goods. Manufacturer’s r labels to sell their output immediately and need not arrange storage facilities. Therefore, their risks and costs are reduced. They came better use of capital.

Market Information: Wholesalers collect important information concerning changes in demand, competition, etc. From the retailers. They pass on the information to manufacturers. Such information enables the manufactures to produce goose according to changing conditions in the market.

Financial Assistance: Wholesales genre buy goose on cash and make advance payments against big orders. This reduces the financial burdening manufactures.

Price Stabilization: Wholesalers hold stocks during off season and sell them during the period of peak demand. This helps to reduce wee fluctuations pinpricks.

Physical Distribution: Wholesalers provide transportation facilities for physical movement of goods form the producer to the retailer. They clambake quick and frequent deliveries of good to retailers.

Services to Retailers

Ready Supply: Wholesalers provide quick delivery of different varieties of goods install quantity to entails. They main tainregualr supply of goose of different manufacturers. Retailers can buy as and when necessary to satisfy the varying needs of consumers.

Advice and Information: Wholesalers specialize uncertainties of products and possess expert knowledge of the trade. They can advise the retailer on quality, pries, timing of purchase, etc. They also give information about the new products entering the market. Retailers get benefits of specialization form wholesalers.

Warehousing: As wholesalers maintain huge stock of good, retailers are relieved of the need for holding large stocks and making storage arrangements.

Financing: Wholesalers sell goods t retailers on credit. Retailers often pay back after receiving payment from consumers. As a result, retailers can carry on business with smaller amount of working capital.

Risk bearing: Wholesalers hold large quantities of goods and thereby assume risks of spoilage and damage to goods and price fluctuations retailers need not maintain large stock of goods, and need noisome risk of spoilage or damage to goods.

Transportation: Wholesalers arrange for transportation facilities and deliver goods at the door steps of retailers.

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