Wholesale Suppliers

Once upon a time, in the land called the United Kingdom, there was a class of merchants called distributors. At one time, they were the market makers and, collectively as a group, could decide the fate of any new supplier or retailer. However, the power and glory of the UK distributors seems to have gone. It has now become a common practice to bypass UK distributors in many businesses. To save themselves from extinction, UK distributors are trying to collaborate, and here is how the story unfolds.

If the manufacturer has brand appeal and generates a pull from the market, the UK distributors will most likely be bypassed. The whole point of having a distributor is to bear the risk and provide logistical support. As there is less risk for these manufacturers, they find it pointless to appoint a designer clothes wholesaler. Rather, they set up their own subsidiary companies, which act as importers. They then use the UK dropshipping model to get the products to the retailers, who are more than happy because of the lesser costs involved in this model.

However, if the manufacturers are not well known, distributors become pivotal. Because there is a lot of risk involved, the manufacturers are happy to share the risks and rewards with the UK distributors. Moreover, their logistical support has also become inefficient in the face of high-tech supply chains adopted by manufacturers.

When you consider the fact that the United Kingdom is a highly brand-conscious market and people buy name brand products more than they buy those pushed by UK distributors, you will see why their power is waning. Moreover, their model is inefficient and the costs are high!