Modern society is developing every day at a rapid pace, there are more and more new professions and terms. So, most recently known dealers and intermediaries were called traders. However, in the current market relations, the distinctions between different types of commodity distributors are clearly defined. Dealers and distributors – who is who, we will try to understand this article. Who is the dealer? The word “dealer” is of English origin and is translated as “agent, merchant”.

The dealer is a firm or an individual who buys products in bulk and sells it in small batches or at retail. Also to this group of traders are agents of the manufacturer or distributor-participant of transactions. Thus, the dealer takes the last place in the commodity exchange chain and is in direct relationship with the final buyer. This is the main answer to the frequently asked question – what is the difference between a dealer and a distributor. With the plan regarding Sephora – Sell to Sephora the results may be effective

Types of dealers

In the commercial sphere, there are two types of dealers: A retail dealer is a classic type of intermediary between a trading company and legal and physical persons wishing to purchase goods.

Exclusive dealer is an intermediary in the sale of the original rare goods in a certain region. He has the right to represent premium products and has the opportunity to gain unlimited profits. To better understand what a dealer differs from a distributor, we’ll look at their basic functions, rights and responsibilities.

  • What is the work of dealers Dealership activity consists in performing intermediary operations: purchase and sale of products manufactured by enterprises or sold by distributors and owners; representation of the interests of the manufacturer of the goods and their trademark in the market.
  • Cooperation between dealers and owners of products implies the conclusion of a contract that defines the rights and obligations of each party. But, in addition to the delivery and payment for the goods, dealers are required to adhere to certain principles. So, the mediator, in addition to the basic functions, has additional rights and certain responsibilities to the manufacturer. In other words, the dealer is fully responsible for his activities and if the terms of the contract are not fulfilled, he may lose his job.
  • So, if sales go bad, the agent does not actively promote the trade mark, and the owner of the goods does not realize the required number of products, the enterprise can refuse the services of such an intermediary. In this case, the dealership can be transferred to another merchant.

In order for the intermediary to be interested in sales, all manufacturing firms and distributors offer agents a percentage of the actual volume of the goods sold, in which the dealer differs from the distributor. Dealer rights Each dealer has the right: Call yourself the official representative of the manufacturer or distributor. Receive the goods in view of dealer discounts. He plays the role of reseller, so he buys products at special prices. For more you can visit to Retail distribution. Represent the trading interests of a manufacturing company in a particular region or among a specific range of customers. Get a loan from the manufacturer to develop its trading activities.

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