What is Wholesale Price?
A wholesale price is the lower price charged to buyers who purchase in bulk or resell the goods, such as retailers, contractors or institutions.
Updated
Meaning
English
A wholesale price is the lower price charged to buyers who purchase in bulk or resell the goods, such as retailers, contractors or institutions.
Roman Urdu
Wholesale price woh kam qeemat hai jo zyada maal lene walon ya aage bechne walon se li jati hai, jaise dukandar, contractor ya idaray.
Also called trade price, TP, bulk price, dealer price.
Example
A stationery shop sells a ream of paper for 1,450 rupees to walk-in customers and 1,350 rupees to schools buying 50 reams. Both prices are saved on the product, and the cashier picks wholesale for the school's bill.
How it works
Many Pakistani shops do both retail and wholesale from the same counter: a hardware store selling to homeowners and contractors, a kiryana supplying smaller shops in its mohalla, a pharmacy supplying a clinic. If the wholesale rate is not saved, the cashier either gives it from memory or calls the owner, and the profit on wholesale bills is never clear.
Keep the wholesale price on the product, decide who qualifies (a customer type or a minimum quantity), and check the margin on wholesale separately, because it is usually thin. Wholesale customers also tend to buy on credit, so khata limits matter more.
In Nafaa
Products and variants in Nafaa carry a separate wholesale price, and the counter can bill a line at the wholesale rate instead of the retail one.
Related terms
- MRP (Maximum Retail Price)
MRP is the retail price printed on a product's pack by the manufacturer, which is the most a shop is expected to charge the customer.
- Markup
Markup is the amount added to the cost price to get the selling price, usually expressed as a percentage of cost.
- Gross Margin
Gross margin is gross profit shown as a percentage of the selling price: (selling price minus cost) divided by selling price.