Question

• discusses how a reseller can service both a consumer and an industrial market from the same store location. Provide an example of a retailer and detail the differences in their marketing activities.

Answer 1

Retailers:

Retailer is any Person/Store/Company which buys goods from wholesellers/production companies/industrial market and sells the same to the ultimate consumers/users.

Resellers:

Reseller sell the goods in a trade cycle to small businessmen in other words they sell the goods in a chain but not directly linked to ultimate consumer. But in some cases the ultimate consumer can go to resellers but resellers usually don't sell to ultimate consumers but they sell goods to suppliers or small businesses.

An Example of Reseller serving both Consumer and Industrial Market

Proctor & Gamble Company having resellers in every part of the world. One can go to the reseller and can buy goods in small quantity for their personal use. They are a part of industrial market but a normal consumer can also buy goods from them.

Difference between Reselling and Retailing and their Marketing Activities:

1. Retailer use showrooms and malls and attract consumers by placing their products on danglers or arrangements done under one shed. Reseller generally use godowns/warehouses and don't go by showing off.

2. Reseller sells in bulk quantities but retailer can not decide quantity as in retailers' case ultimate consumers decide the quantity and variety of goods.

3. Retailers have point of sale and they offer goods in cash/cheques/cards or in other words they demand immidiate payments but resellers also provide credit facility to their buyers.

Conclusion

It can be concluded that reselling is a part of trade cycle and they are generally suppliars of goods to other suppliers/businessmen but retailers are connected with ultimate consumers so the retailer is at the last stage of the trade cycle but the reseller is a chain that coordinates industry with small businesses. So, the role of a reseller is wider than of a retailer.