Running a jewelry business isn’t easy. You have major thinking to do when it comes to managing between your suppliers and customers and to earn a big profit from demands by cutting down the overhead expenses. How? We will get there soon. But before that, let’s understand how the wholesale buying works.
What is wholesale buying and how does it work?
Lowering your overhead expenses on your inventory acquisitions and operations gives you more room for profits. This is how any business works and jewelry is no exception to that. It is as simple as: stock your store for less and get a bigger profit margin. This is made possible by wholesalers. Wholesalers sell their products in bulk to businesses for less than what you would sell them at retail. This is how you make the margin and since wholesalers are saving manufacturing cost by bulk production it becomes a win-win situation for both. They also allow you to stock more of a certain product or different varieties.
Tips for Buying Wholesale Jewelry for Resale
Now that you have ample information on how wholesale Jewelry businesses work, here are some great tips to start your business.
1. Partnering Good Wholesale Supplier
Let’s take two scenarios to understand it fully:
Example#1: You have to restock a particular item in your inventory that became very popular, you place an order for it to your wholesalers, but your suppliers have put you on the back order for weeks. And when they completed the order, the peak season was gone, the trends were changed, and you had to disappoint your customers for days. You wasted money and time both and now you are worried about how this outdated stock will affect your profits.
Example#2: Similarly, you place an order of a product with your supplier you think will have a huge demand in the market, and your suppliers fulfill it on time. But when you saw the stock it was of a very low-quality and there is no way you will be able to make a profit out of it. That too will cost your business money and a few disappointed customers.
It is important to find a supplier that you can trust to stay always at the top of your business game and for making more profit when purchasing good wholesale.
Nihao Jewelry is one of the best wholesale jewelry suppliers and your trusted business partner to fulfill all your wholesale fashion jewelry products needs. They have more than 100,000+ pieces in stock under fashion jewelry, fine jewelry, costume jewelry, accessories, fashion clothing, bags for women, and more.
2. Beware against fake suppliers and Checking Product Descriptions
There are high chances that you are going to look for a wholesaler online. It allows you to globally explore the best manufacturers of jewelry items, read their reviews, and scrutinize their services as per their ratings. Scrutiny is an important step in finding a wholesaler for long-term business relations.
A lot of reputable businesses have turned out to be fake and you must hedge yourself from these people. To do this, carefully check each product description for size, weight, material, country of origin, and more. Get to know your supplier’s manufacturers.
Nihao Jewelry is one of the trusted jewelry wholesalers that has their own factory to manufacture quality and latest trends fashion jewelry at lower price. They deliver worldwide delivery with shipping done within ten days.
3. Going all-in on a single go
You found a supplier who is good and offers huge discounts on bulk buying – great! But are they reliable? Have you checked the quality of their supplies? Are they supplying timely? To check all this, place a small order and test the quality of their products yourself and after you are all satisfied with every aspect of their business operations start increasing your order request.
Nihao Jewelry is a fashion jewelry accessory manufacturer and wholesaler owns jewelry and accessories factory in Yiwu City, Zhejiang Province.
That means Nihao Jewelry offers best quality fashion items at low cost. NO minimum order required to buy from nihaojewelry.com website, buy what quality you want, they keep stock for you.
4. How much should you be pricing wholesale jewelry?
The pricing model is one of the trickiest aspects of doing business, as nothing can be too costly, and nothing can be too cheap without having a reason for it. But here is the trick, whatever it costs you the retail price should be double of that. This means the markup is 100%. It is because the cost to sell customers is a lot higher than that of what it cost the wholesaler. There is operational cost, customer acquisition cost, and so much more.
Also, not always doubling up the prices is going to save you the hard work. Be competitive in the market. In case the same product is being sold at low cost on online channels, try to reduce your profit margin and lure more consumers. Later people will understand how the quality differs in online shopping and retail (mostly) and the benefits of trying out a piece and making an informed decision to not regret later. Or you can also place the “Manufacturer Suggested Retail Price”. This will help you stay competitive.
5. Are you aware of fashion trends? Do you have it in-store?
Fashion is very dynamic; it changes every week with a new celebrity pulling off a great pair of quirky earrings or necklace she wore at a fashion event. People love to imitate their favorite celebs. And if it is getting a lot of eyeballs, you are going to find some consumers knocking at your doors to purchase it at your store. Make sure that your collection stays trendy. A larger order of jewelry that doesn’t sell, no matter how cheap you got it and sells it – it will not turnover because it is not in fashion.
It is your wholesaler’s responsibility too, to aware you of what new collections they have.
Take Nihao Jewelry, for example, they are the most trusted wholesalers globally because their collection is not just cheap, but it is trendy, quality-rich and sells faster because they understand what is going to sell.
6. Don’t forget to promote and present lucrative deals for your buyers
You got the new stock in, now you just can’t wait for the buyers to come by themselves. You will have to make efforts to inform them that the new stocks are in and ready for them to explore. Not many all consumers will drop by, but they must know that you regularly restock for them to come and drop by anytime.
Now talking about promotions, you can choose to leverage the digital platforms or online communication tool sets to inform them about the sales, deals, discounts, etc. People are simply attracted to it and can’t resist but binge shop on stuff that was not even on sale or had no deal on it. You just simply have to lure them in with markdowns, Buy1-Get1 deals, etc. This is an effective way to take out your old and new stock both.
7. Finding balance between supply and demand
It is well-established that the bigger the lot you buy at wholesale, the more profit margins you get, as suppliers give you more discounts on bigger purchases. But as you grow your business, you will start seeing consumer buying patterns and it becomes easy for you to select what products are more in demand and what makes you more profit with easy sales.
This implies: you will have to find out how much of the product you can turnover and simply balance that with how much you buy from the wholesalers. If you fail at finding that needful balance, then either you will be stuck between ordering too much or ordering in smaller quantities to increase cost more per item.
8. Leverage the peak seasons of the year
Just like any other segment of the fashion industry, jewelry has its seasons. In peak seasons you must have the potential of turning over more inventory and be sure to plan as per your sales to have plenty of stock. Mostly, jewelry is the first choice of people when it comes to gifting women and the sales will pike up during Valentines, or other gift-giving holidays. Also, many women prefer to renew their wardrobe around new years’, Christmas, or any other big festival thus retail shops always make sure they have fresh stock around these times.
Also, makes it your responsibility to partner a reputable business for bulk buying for keeping up with piking demands and use best practices to continue growing your store and stay in profits in the jewelry portion of your resale business.
About Jewelry Wholesaler Nihao Jewelry
If you’re looking for wholesale jewelry suppliers, then we will suggest Nihao Jewelry, a well-established company wholesales jewelry items to buyers all over the world.
Nihao Jewelry has its own factory, the quality of their products is very reliable and they have special inspectors to control the quality of products.
Nihao Jewelry have huge collection of 100,000+ products, and 100+ categories including Fashion Jewelry, Hair Accessories, Fine Jewelry, Fashion Bags, Women’s Clothing, Women’s Shoes, Fashion Watches, Swimwear, Fashion Accessories, Mother & Baby, and more, products are updated everyday on the website.
Nihao Jewelry is also known for their excellent and timely customer service and fast shipping, A company ship to worldwide within 10 days.
Connect with Nihao Jewelry