Why is wholesale clothing so cheap

It is important to understand the vast differences between wholesale and retail. Wholesale and retail play different roles in the chain process of getting products and goods from the manufacturers into the hands of the consumer.

The cost per unit is normally far cheaper from a wholesaler, this is because a wholesaler acquires stock from providers and manufacturers at a reduced rate as wholesalers purchase large quantities of stock, at prices that would likely be unavailable to retailers and the general public.

However, consumers normally cannot purchase from wholesalers, meaning they will have to purchase from retailers at retail price, which will almost certainly be higher than the wholesale price per unit. Producers and manufacturers determine the wholesale price, and retailers will determine the cost they will sell to the consumer, largely dependent on the cost they paid per unit from the wholesaler.

Although the increase from wholesale price to retail price differs and depends on the product, origin, season and other things, retailers generally hike up the cost per unit by 2 times. Allow Cookies. Register Or Login. Special Offer. Latest Products. Back in Stock. Best Sellers. So you have little to no say over how your products are displayed in stores. You can display it how you want, set the prices, and control its marketing. So if your identity is essential to you, then selling wholesale may not be what you want.

Without the middleman selling your product, it will be easier to connect with your customers. You can get to know them personally and listen to any suggestions they may have about your product. By engaging with customers on a personal level, it can lead to good reviews for your business.

That could result in further customers buying from your company. Are you looking to find a clothing manufacturer for your business? So if you have a large number of orders that you want to send to a retailer, we can handle that for you.

Contact us today, so we can help you get those orders out efficiently. You can also check out our website for more information about the apparel industry. Wholesale Clothing: Understanding the Pricing Structure. In the competitive world of fashion retail, the product is everything. If you do not offer the consumer something of interest, you will simply not succeed in your venture. In fashion, your products need to be quality, affordable and on-trend. People want to get their hands on the latest styles without breaking the bank, but they will not be interested in cutting corners by sacrificing quality.

In meeting each of these demands, the world of clothing wholesalers has become a tremendously valuable one, offering numerous benefits. You have probably heard of wholesalers and the way in which they work buying clothing from manufacturers and selling it to retailers.

Low Prices The most obvious benefit of using cheap wholesale clothing outlets is cost. Cash flow is what drives your business — you must be able to pick up stock as cheaply as possible and sell it on at a reasonable profit to cover expenses and provide a steady turnover. Wholesalers sell in bulk and the more items you purchase, the cheaper each individual piece becomes.