Franchise Spotlight: Wholesale
An opportunity for potential franchisees to collect and deliver goods for businesses, with extensive support from head office.
A wholesaler sells goods in large quantities at low prices to other businesses, such as retailers and hospitality operators.
They’re like distributors, with chief differences being that wholesalers include produce or products in their warehouse and sell goods to retailers or consumers. Whereas distributors work closely with manufacturers and distribute goods to retailers. Some businesses perform both functions and have a global reach.
Franchise industry trends analysis
Franchisees operating in the wholesaling or distribution sectors typically spend their working day collecting and delivering goods to businesses in various sectors.
There will likely be other parts to their role, but franchisors will handle the distribution process, like picking and packing the goods, and providing support in areas like marketing, invoicing, and generating customers.
If franchisees are expected to deliver goods, then they will need a driver’s license, but will most likely not need prior experience in the courier, wholesale, or distribution sectors.
This is the case with Yarra Valley Farms, who source fresh fruit and vegetables from farmers and growers, and deliver it to hospitality businesses, education institutions and care facilities.
According to the franchisor’s statistics, more than 180,000 orders are processed and delivered annually, resulting in annual sales of over $45 million.
Franchisees start and finish their deliveries early and earn a minimum $1,500 weekly gross income for the first six months.
Franchisees at Books and Gifts Direct distributebooks, homeware items, toys and games to more than 25,000 workplaces, offering up to 70% off recommended retail prices. They also replenish sample boxes with sample products and order forms.
The Original Poster Company perform a similar role, distributing greetings cards and gift wraps to retailers, including installing and restocking displays.
Retailers have nothing to lose from the arrangement since they only pay for stock sold.