How do companies make purchases?

[Talal Itani]

I Sell a product online to the end user. I have a web site, with a shopping
cart, and a credit card payment processor. Now I want to start selling the
product to resellers. In general, do companies purchase from other
companies using a shopping cart? And how do companies pay other companies?

Thank you.

 

[Talal Itani]

First, why would they want to sell the product and why would they buy it
from you?

The want to buy the product because it is a good product. They want to buy
it from me because I am a good person. I Sell a product online to the end
user. I have a web site, with a shopping cart, and a credit card payment
processor. Now I want to start selling the product to resellers. In
general, do companies purchase from other companies using a shopping cart?
And how do companies pay other companies?

 

[jim menning]

I Sell a product online to the end user. I have a web site, with a shopping cart,
and a credit card payment processor. Now I want to start selling the product to
resellers. In general, do companies purchase from other companies using a shopping
cart? And how do companies pay other companies?

Thank you.

What's your web site? That would give us a clue as to what advice to give you.

 

[Tina Peters]

No. You send them the product first, and bill them 40% of the price
you currently charge end users. You may get your money in 90 days or
so. That's if you can convince any reseller to take your product on in
the first place. The first thing they will want to do is undercut your
price, so you will never sell any more to end users at the price
you're selling them at now.

If your product is so good and you're the only place anyone can get
it, why do you want resellers at all? Keep shipping at full price and
keep all the money instead.

You're WAY off on this. How much you charge your resellers is soley
dependant on what type of product you sell. You can either charge them per
item sold upfront or any payment terms you wish.

Why have resellers? There are multi-million dollar corporations that won't
sell directly to the consumer - they get others to sell their products. I'd
rather dictate that my 100,000 resellers can't sell my product for less than
$xxx and let them do all the work.

 

[Bodfish]

.. I'd
rather dictate that my 100,000 resellers can't sell my product for less than
$xxx and let them do all the work.

Then the FTC would shut you down for operating a monopoly. You can't dictate
terms to your re-sellers..........They can charge what they want.
Most factories use dealers for their products so as to avoid the messy
complications of dealing with retail buyers. If I was that big, I would too.

 

[Scott Bryce]

Then the FTC would shut you down for operating a monopoly.

Not if you have competitors. Other people could sell a competing
product, and you wouldn't have a monopoly.

You can't dictate terms to your re-sellers.

Some companies do. Bose, I believe, is one of them. They don't have a
monopoly. I can buy a sound system from any number of competitors. But
if I want a Bose system, I have to pay the price that Bose dictates.

I suspect that the OP wants resellers to increase his exposure.

 

[Fat Sam]

The want to buy the product because it is a good product.

You started well.

They want
to buy it from me because I am a good person.

And then it all went wrong.
Companies don't care if you're a good person or a bad person.
They just care about profit. They want to know who's going to provide them
with the best product at the lowest price.
They don't care if that person has a string of convictions for raping
underage orphan hamsters. They're not driven by ethics. They're driven by
£££ and $$$

online to the end user. I have a web site, with a shopping cart, and
a credit card payment processor. Now I want to start selling the
product to resellers. In general, do companies purchase from other
companies using a shopping cart? And how do companies pay other
companies?

You could operate the way you are doing and allow them to buy bulk lots of
your product with their cradit cards.
Or you could operate a system of allowing them to place orders with you, and
accept payment by cheque or electronic transfer.
Some companies prefer to deal with a sales team of real people rather than a
website. Some companies put out a catalogue. And some even offer a credit
facility.

To be honest, there's as many different ways of selling business-to-business
as there are ways of selling to the public.
You need to suss out who your customers are going to be, and look into what
methods they're most comfortable with.
Remember, the easier you make it for people to buy from you, the more
they'll buy.

 

[R. Totale]

In general, do companies purchase from

No. You send them the product first, and bill them 40% of the price
you currently charge end users. You may get your money in 90 days or
so. That's if you can convince any reseller to take your product on in
the first place. The first thing they will want to do is undercut your
price, so you will never sell any more to end users at the price
you're selling them at now.

If your product is so good and you're the only place anyone can get
it, why do you want resellers at all? Keep shipping at full price and
keep all the money instead.

 

[NotMe]

"Tina Peters"

| Why have resellers? There are multi-million dollar corporations that
won't
| sell directly to the consumer - they get others to sell their products.
I'd
| rather dictate that my 100,000 resellers can't sell my product for less
than
| $xxx and let them do all the work.

Words of caution:

ANTI TRUST.

 

[NotMe]

| Bodfish wrote:
|
| > Then the FTC would shut you down for operating a monopoly.
|
| Not if you have competitors. Other people could sell a competing
| product, and you wouldn't have a monopoly.

It's called price fixing and is a subect dear to the hearts of the DoJ folk.

 

[mich]

I Sell a product online to the end user. I have a web site, with a
shopping cart, and a credit card payment processor. Now I want to start
selling the product to resellers. In general, do companies purchase from
other companies using a shopping cart? And how do companies pay other
companies?

First, why would they want to sell the product and why would they buy it
from you?

 

[mich]

The want to buy the product because it is a good product. They want to
buy it from me because I am a good person. I Sell a product online to the
end user. I have a web site, with a shopping cart, and a credit card
payment processor. Now I want to start selling the product to resellers.
In general, do companies purchase from other companies using a shopping
cart? And how do companies pay other companies?

First, they don't care that you think that you are a good person. Second, is
your website professional looking?

 

[Jerry Stuckle]

. I'd
Then the FTC would shut you down for operating a monopoly. You can't dictate
terms to your re-sellers..........They can charge what they want.
Most factories use dealers for their products so as to avoid the messy
complications of dealing with retail buyers. If I was that big, I would too.

Actually, you can. You can specify the price they offer is at lest $x.
And if you have competition in the same market, you are not a monopoly.

--
==================
Remove the "x" from my email address
Jerry Stuckle
JDS Computer Training Corp.
(e-mail address removed)
==================

 

[Jerry Stuckle]

| Bodfish wrote:
|
| > Then the FTC would shut you down for operating a monopoly.
|
| Not if you have competitors. Other people could sell a competing
| product, and you wouldn't have a monopoly.

It's called price fixing and is a subect dear to the hearts of the DoJ folk.

No, it's not. Price fixing is when two or more competitors agree on
what they are going to charge (collusion). You can specify the minimum
price your resellers can sell your product. That's a matter of contract
law.

--
==================
Remove the "x" from my email address
Jerry Stuckle
JDS Computer Training Corp.
(e-mail address removed)
==================

 

[Jerry Stuckle]

"Tina Peters"

| Why have resellers? There are multi-million dollar corporations that
won't
| sell directly to the consumer - they get others to sell their products.
I'd
| rather dictate that my 100,000 resellers can't sell my product for less
than
| $xxx and let them do all the work.

Words of caution:

ANTI TRUST.

Words of caution:

BULL SHIT.

--
==================
Remove the "x" from my email address
Jerry Stuckle
JDS Computer Training Corp.
(e-mail address removed)
==================

 

[Andrew Heenan]

You can't dictate
terms to your re-sellers..........They can charge what they want.

Best go tell Levis - and most other premium brands.
They've been doing it for years - and the courts protect them.
--

Andrew
eBaY Weirdities
http://www.weirdity.com/ebay/

Norfolk & Way - Our Aim Is To Please
http://www.norfolk-and-way.com/

 

[BrotherBart]

Heenan:

Best go tell Levis - and most other premium brands.
They've been doing it for years - and the courts protect them.

Try again. Levi Strauss just went down on Wal-Mart big time.

 

[Roedy Green]

I Sell a product online to the end user. I have a web site, with a shopping
cart, and a credit card payment processor. Now I want to start selling the
product to reseller

you might start with an affiliate program then graduate to reseller.
You can do both through esellerate.

See http://mindprod.com/jgloss/affiliate.html

 

[redleg]

The want to buy the product because it is a good product. They want to buy
it from me because I am a good person. I Sell a product online to the end
user. I have a web site, with a shopping cart, and a credit card payment
processor. Now I want to start selling the product to resellers. In
general, do companies purchase from other companies using a shopping cart?
And how do companies pay other companies?

You have a good product, and you're a good person....so we should buy
from you?

This sounds like Introduction to Marketing 101.

--OK, you have a product, you want to sell it, how do you get people
to buy it?

Todays Guest Professor is __________

 

[mr rudeforth]

No, it's not. Price fixing is when two or more competitors agree on
what they are going to charge (collusion). You can specify the minimum
price your resellers can sell your product. That's a matter of contract
law.

and then tescos/asda etc buy it from such a company and then sells it
cheaper as a loss leader.