Wholesaler performs the functions of collection and storage of goods, distribution, financing and risk taking. Retailers are the middlemen who buy goods from wholesalers or producers and sell them to consumers. They deal in goods in small quantities.

What are the main functions of wholesaler?

Various functions performed by a wholesaler are explained below.

• (i) Buying and Assembling:
• (ii) Warehousing:
• (iii) Grading and Packaging:
• (iv) Transportation:
• (v) Financing:
• (vi) Risk Bearing:
• (vii) Providing Marketing Information:
• (viii) Dispersion of Goods:

  What are the functions of wholesaler explain?

  A wholesaler arranges for the transport of goods from producers to his warehouse and from the warehouse to retailers. He carries goods in bulk thereby saving costs of transport. Many wholesalers maintain their own trucks and tempos to carry goods far and wide quickly. Thus, a wholesaler adds place utility to the goods.

  What are the characteristics of wholesaler?

  The main characteristics of wholesaler are:

  • He buys and sells goods in large quantities.
  • He deals only with a few types of products.
  • He acts as a middleman between the producers and retailers.
  • He usually makes cash purchases and sells goods on credit to the retailers.
  • He does not sell goods to consumers.

  What are the roles and functions of wholesalers?

  Role And Functions Of Wholesalers. The presence of wholesalers in distribution channel is very important. Besides the functions of buying and selling or exchanging goods, the wholesalers also perform other facilitating functions of marketing at a time. Wholesalers provide services to producers and retailers in different ways.

  Which is a function of the wholesaling process?

  Wholesaling assumes many functions in a distribution channel, particularly those in the sorting process. Manufacturers and service providers sometimes act as their own wholesalers. Industrial, commercial and government institutions are wholesalers’ leading customers followed closely by retailers:

  How is a wholesaler different from a retailer?

  The wholesaler purchases different varieties of goods from different manufacturers, usually much in advance of the demand. He keeps them in stock for sale to the retailers. He also imports goods from foreign countries. In this way, he stores goods of various producers and manufacturers.

  How does a wholesaler help in the dispersion process?

  Dispersing and selling. The wholesaler keeps the goods in warehouse. He sells them to the retailers who are often scattered over a large area. The retailers contact the wholesaler when goods are sold and this process continues over the years. The wholesaler thus helps in the dispersion process of marketing.