Consignment vs. Wholesale

See the key differences between consignment and wholesale.

Model

How it works

Inventory owned by

Retail Pricing set by

Shipping paid by

Who has control

Shrinkage Risk (theft)

Consignment

Revenue share if product sells

Brand/Vendor

Brand/Vendor

Brand/Vendor

Brand/Vendor

Store

Wholesale

Products are bought outright

Store

Store

Store

Store

Store


Consignment drives better results for brands.

See some of the benefits and advantages of working on consignment


Like your own mini storefront

Its more like having your own mini storefront without worrying about rent, merchandising or staffing.

Higher sell-through & sales

You know your products best and can provide more inventory than a retailer would normally order under wholesale channels.

Data & Reporting

Own and have more visibility into the data and know what products are actually selling.

You’re in Control

You control your products prices, what products to consign & quantities, and any merchandising rules. You can test out new products in stores.

Higher Margins

Get higher profit margins than if you were to sell through wholesale channels.

Retailer Longevity & Retention

Eliminating inventory risk for the retailers allow them to continue working with you for a longer time and making you a preferred vendor.

Consignment vs. Wholesale

See the key differences between consignment and wholesale.

Model

How it works

Inventory owned by

Retail Pricing set by

Shipping paid by

Who has control

Shrinkage Risk (theft)

Consignment

How it works:
Revenue share if product sells

Inventory owned by:
Brand/Vendor

Retail Pricing set by:
Brand/Vendor

Shipping paid by:
Brand/Vendor

Who has control:
Brand/Vendor

Shrinkage Risk (theft):
Store

Wholesale

How it works:
Products are bought outright

Inventory owned by:
Store

Retail Pricing set by:
Store

Shipping paid by:
Store

Who has control:
Store

Shrinkage Risk (theft):
Store

 

Consignment drives better results for brands.

See some of the benefits and advantages of working on consignment

Like your own mini storefront

Its more like having your own mini storefront without worrying about rent, merchandising or staffing.

Higher sell-through & sales

You know your products best and can provide more inventory than a retailer would normally order under wholesale channels.

Data & Reporting

Own and have more visibility into the data and know what products are actually selling.

You’re in Control

You control your products prices, what products to consign & quantities, and any merchandising rules. You can test out new products in stores.

Higher Margins

Get higher profit margins than if you were to sell through wholesale channels.

Retailer Longevity & Retention

Eliminating inventory risk for the retailers allow them to continue working with you for a longer time and making you a preferred vendor.