How to Sell Wholesale on Shopify: A Complete Guide for Start Your Businesses
If you’re running a traditional wholesale business and considering adding wholesale to your business model, Shopify offers powerful solutions to simplify the process. Whether you want to focus on B2B, B2C, or a mix of both, Shopify provides flexible options that can grow with your business.
In this guide, we’ll walk you through everything you need to know how to sell wholesale on Shopify, from setting up a wholesale store to managing legal aspects and overcoming challenges.
Stick with us to the end! We will share all of our experience helping Shopify merchants build their wholesale stores so that you can prevent common pitfalls. Alright! Ready to set up your millions wholesale business?
Is Selling Wholesale On Shopify A Good Choice?
Absolutely! Shopify is easy to use, flexible and scalable, making it a great platform for businesses looking to expand into wholesale. However, there are some dimensions that we want to clarify with you.
- Customization ability: Shopify allows for extensive customization, whether through Shopify Plus (with built-in B2B features). But don’t worry, even basic plan stores can run wholesale B2B smoothly with various apps available that cater to all your B2B needs.
- Unified Management: You can manage both your B2C and B2B businesses from a single Shopify account, making it easier to handle products, orders, and inventory.
- Ease of Use: Shopify is intuitive, even for those with limited technical knowledge, ensuring a smooth transition from retail to wholesale.
- Support for Growth: Shopify’s infrastructure supports small businesses aiming for rapid growth. It offers the ability to scale as your wholesale operations grow without complex integrations.
Overall, we assume selling wholesale on Shopify is a viable option for many businesses including small ones, particularly those looking to diversify their revenue streams and reach new markets. However, it requires careful planning regarding pricing strategies, supply chain management, and market analysis to ensure success in the B2B space. That’s what we will share to you right below.
What Do You Need to Prepare to Start a Wholesale Business?
We understand that launching a successful wholesale business requires thoughtful preparation and a solid foundation. From finding the right products to setting up a dedicated B2B platform, we’re here to guide you through every step. Here are the key steps you need to take to set yourself up for success:
Find Your Niche
The first step is to identify a product category or niche that aligns with your interests, skills, and target market. Research the competition, identify gaps in the market, and determine if there is sufficient demand for your products. This will help you stand out and appeal to wholesale buyers.
Here are some popular niches for wholesale businesses going along with estimated value to help you navigate your decision:
Niches | Estimated Value Acc. Statista the US market (2022/2023) |
Health and personal care | $399 billion |
Clothing and clothing accessories | $312.4 billion |
Furniture and home furnishings | $138.7 billion |
Jewelry | $91.5 billion |
Footwear | $85.8 billion |
Sport goods | $63 billion |
Kitchen and dining | $58.87 billion |
Pet Supplies | $28.8 billion |
Cosmetics and beauty | $21.3 billion |
Luggage & bags | $17.6 billion |
Baby care | $7.4 billion |
If you’re already selling B2C, look at your best-selling items and assess their potential for wholesale. Can they be scaled for bulk orders? Are they easy to produce in larger quantities without compromising quality?
We encourage studying your competitors to understand their pricing, product lines, and wholesale strategies. By identifying gaps in the market, you can position yourself as the go-to wholesale provider in your niche.
Source Your Supplies
Once you have identified your niche, it’s time to source your supplies. Look for reliable and cost-effective suppliers who can provide high-quality products consistently. Build relationships with your suppliers and negotiate favorable terms to ensure profitability. Here are top suppliers that you can take a look for:
Supplier | Niche | Minimum Order Quantity (MOQ) | Area Covered | Payment Terms & Financing Options | Order Protection |
AliExpress | General (multi-category) | Varies (as low as 1 unit) | Global | Credit cards, PayPal, AliPay, Varies by supplier | Buyer protection, dispute resolution |
Faire | Lifestyle, Apparel, Home | Varies by supplier | North America, Europe, Australia | Net 60 payment terms, financing for qualified buyers | Return protection, flexible returns |
EK Wholesale | Fashion, Footwear, Homeware | Varies (Typically 50-100) | UK and Europe | PayPal, credit cards | Return policy and order guarantees |
Wholesale Central | General (multi-category) | Varies | USA | Varies by supplier | None |
IndiaMart | Various (local suppliers) | Varies | India, Global | Bank transfer, credit cards | Quality assurance, buyer protection |
Doba | Dropshipping (multiple categories) | Varies by supplier | USA, Global | Credit cards, PayPal | Varies by supplier |
DHgate | Electronics, Fashion, Gadgets | Low (1-10 units) | Global | PayPal, credit cards | Buyer protection, escrow system |
DollarDays | General (Household, School) | No MOQ | USA | Credit cards, Net terms, ACH payments | Refunds, returns within 14 days |
Worldwide Brands | Established sellers | No MOQ | Global | Varies by supplier | Varies by supplier |
We advise you to negotiate favorable terms with suppliers. This includes discussing minimum order quantities (MOQs), payment terms (such as net 30 or net 60), and any discounts for larger bulk purchases.
Get Legal & Ready
Depending on your location, you may need a wholesale license or other permits to legally sell products in bulk. Be sure to check your region’s specific requirements.
To purchase goods tax-free from suppliers, you’ll need a reseller’s permit or wholesale license. This is an essential step in keeping your wholesale operations cost-effective.
We recommend consulting with a legal or tax advisor to ensure compliance with sales tax, VAT, and industry-specific regulations. This will help you navigate the complexities of wholesale taxation and avoid potential issues.
Drafting clear, legally binding contracts with your wholesale buyers is crucial. Your contract should cover terms such as payment schedules, delivery times, and return policies to protect both parties.
Price for Profit
Ensure that your pricing accounts for the cost of goods, shipping, packaging, and overhead expenses. Since wholesale margins are typically slimmer than retail, it’s critical to cover all your costs and maintain profitability.
Wholesale customers expect significant discounts compared to retail buyers. Typically, this means offering pricing that’s up to 50% or more off the retail price, but the exact discount should depend on your production costs and industry norms.
We recommend tiered pricing to incentivize larger orders. Offering discounts based on order volume encourages buyers to purchase more, increasing your average order size and profitability. While offering competitive prices, it’s essential to retain a healthy profit margin after all expenses are factored in.
How to Set Up a Wholesale Store on Shopify?
As our experience, there are 3 main methods to start a wholesale business on Shopify. Each of them has its advantages and disadvantages. So let’s see which one will be best suited for your store:
| Using a Separate Shopify Store | Wholesale Through Shopify Plus | Using Shopify Apps |
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1. Set Up a Separate Shopify Wholesale Store
This option involves creating a completely separate Shopify store dedicated solely to your wholesale customers, which allows for full control over pricing, design, and product offerings. There’re a few simple steps as following:
- Open a new Shopify account for your wholesale store. Enjoy $1 for the first month here!
- Duplicate products from your retail store using CSV files.
- Customize the new store for wholesale customers, emphasizing relevant information like turnover rates and volume discounts. Apps like SnapBundle: Volume Discount allow easy setting up eye-catching volume discounts to encourage bulk orders.
- Password-protect the store to restrict access to wholesale customers only. This helps restrict access to wholesale customers only. You can easily set this up in your Shopify admin under “Online store” > “Preferences.”
- Set up unique pricing and payment terms for wholesale customers, such as net 30 days.
Choose this method if you want complete control over your wholesale store and the ability to tailor the experience specifically for B2B customers. However, it’s not a good choice if you are running both a B2B and B2C strategy at the same time and it can double your expenses.
2. Set Up a Wholesale Store Through Shopify Plus
Shopify Plus is an enterprise-level plan that offers advanced wholesale capabilities directly within your Shopify store. It’s best for larger businesses with substantial wholesale operations. To set up a wholesale store with Shopify Plus plan, do as following:
- Upgrade to Shopify Plus: Once you’re on Shopify Plus, you’ll get access to advanced features tailored to wholesale needs.
- Create a Wholesale Channel: In your Shopify Plus dashboard, create a wholesale storefront where only approved customers can log in.
- Set Custom Pricing and Discounts: Use Shopify Plus’s features to create customer-specific pricing, bulk discounts, and net payment terms.
- Automate Processes: Shopify Plus allows for the automation of repetitive tasks like restocking, invoicing, and shipping, which is crucial for large-scale operations.
With a high cost ($2,000/month), this option is better suited for businesses with high order volumes and revenue. But in return, it offers a seamless integration of wholesale and retail operations, automation tools for efficiency, and robust customization for B2B.
3. Using Shopify Apps to Enable Wholesale
We highly recommend that small—to medium-sized wholesale businesses choose this method that allows you to cater to both B2C and B2B customers in only one store. There are hundreds of apps available on Shopify app stores that can offer you almost wholesale and B2B features such as restricted access, bulk orders, MOQs, etc.
- Install a Wholesale App that meets your needs. Read our complete review of the top 7 best Shopify wholesale apps to find the best one for you.
Top 7 Best Shopify Wholesale Apps to Boost Your B2B Sales: An Honest Review and Comparison
- Set Wholesale Pricing: Configure your products with custom wholesale prices based on customer groups or bulk order quantities.
- Restrict Access for Wholesale Customers: Some apps allow you to limit wholesale pricing visibility to logged-in customers only.
- Configure Minimum Orders and Discounts: Set up minimum order quantities, tiered discounts, and other wholesale-specific rules within the app.
This allows you to run your B2B and B2C stores smoothly and cost-effectively without needing a separate platform. It also reduces incorrectly synchronized inventory, especially when you operate sales in multiple stores. Even Shopify Plus stores require app solutions to customize specific features for their wholesale store’s UI/UX.
How to Market and Sell Your Wholesale Products on Shopify?
Once you’ve set up your wholesale store and established a pricing strategy, the next step is finding potential wholesale customers. Here’s a concise guide to marketing and selling your wholesale products on Shopify:
- Leverage Your Website: Use your existing eCommerce store to attract wholesale customers. Add a wholesale inquiry form in your site’s footer to make it easy for retailers to reach out or add a CTA for B2B customers.
- Join Wholesale Marketplaces: List your products on platforms like Faire, Alibaba, and Wholesale Central to reach a broad pool of retailers. Research marketplace terms to ensure compatibility with your goals.
- Attend Trade Shows: Network with potential buyers at industry-specific trade shows. Start by attending as a visitor to gauge their value before investing in a booth.
- Offer Buyer Incentives: Motivate wholesalers with incentives like volume discounts, free shipping, low minimum order quantities, and flexible payment terms.
- Partner with Complementary Brands: Collaborate with brands that sell complementary products using Shopify Collective or direct outreach, expanding your reach to new customer segments.
- Provide Dropshipping: Consider offering dropshipping services, where you ship directly to the retailer’s customers, reducing their inventory risks.
Top 9 Best Shopify Wholesale Store Examples and What You Can Learn from Them
The Final Thought
We do believe that selling wholesale on Shopify is feasible and a fantastic opportunity for all businesses. Among the options available, we recommend using Shopify apps to enable wholesale features, as this approach allows you to seamlessly integrate wholesale operations into our existing store without the need for a complete overhaul and it’s the most cost-effective.
If you have any questions about selling wholesale on Shopify or want to share your own experiences, we’d love to hear from you! Please leave a comment below. If you found this article helpful, consider liking and sharing it with others who might benefit from it.
The FAQs
Can I run both a B2C and B2B (wholesale) store on Shopify?
Yes, Shopify allows you to run both B2C and B2B operations. You can either create a separate wholesale store, use Shopify Plus to enable B2B features, or install third-party wholesale apps to offer tiered pricing and bulk discounts to wholesale customers alongside your retail customers.
Do I need Shopify Plus to sell wholesale?
No, Shopify Plus is not required to sell wholesale. While Shopify Plus offers advanced B2B features, you can still create a wholesale store using apps or a separate Shopify store. Shopify’s basic plans also allow for some wholesale functionality through third-party apps.
How can I find wholesale customers for my Shopify store?
You can attract wholesale customers by listing your products on wholesale marketplaces like Faire or Alibaba, attending trade shows, and adding a wholesale inquiry form to your website. Networking with complementary brands using Shopify Collective can also help grow your wholesale clientele.
Can I sell on Shopify without being a company?
Yes, you can sell on Shopify as an individual. Shopify does not require you to be a registered business, making it accessible for entrepreneurs and small-scale sellers.
