These days, with so much going on in the world, it’ snot easy for distributors and retail outlets of consumer fashion and accessories to find high-quality products to offer to their loyal customers. For one, they (the distributors and retailers) operate in highly restrictive business environments today. And secondly, lockdowns, shutdowns, social distancing, screening and contact tracing have led to unprecedented supply chain challenges. So, how can consumer fashion accessory business address those challenges?
The answer: Work with a reliable online outlet to source wholesale handbags, jewelry and clothing at extremely wholesale prices!
Understanding Sourcing Challenges
Most retail businesses, who sell direct to consumer – either online or instore, source their inventory of handbags, caps, scarves, sunglasses and purses though multiple sources. Typically, they’ll place several orders with each of their sources, and monitor and track those orders from placement to delivery and payment. But the challenges don’t stop there.
With a network of disparate suppliers, you then have multiple policies and formalities related to:
– Payment processing
– Order receipt
– Returns and rejection
– Consignment selling terms
So, while the retailer might think working with multiple sourcing entities offers diversification, it may not be a cost-effective strategy, especially for small and medium-sized operations. Just the cost of maintaining multiple payment processing options, such as Visa, Master, Square, ApplePay etc., because two suppliers of wholesale sunglasses don’t use the same system, can lead to reduced margins for the retailer.
And then, there’s the challenge of identifying, cultivating and maintaining those disparate trading partnerships through the years. When two supply chain partners have staffing changes (for instance due to COVID-19 related downsizing), the retailer’s staff may experience setbacks identifying who their new contacts are at each sourcing partner, and what their working styles are.
These relationship changes may even add additional challenges to the supply chain: Miscommunication between staff. Unfamiliarity of each other’s business practices due to staffing changes. Missed orders and incorrect implementation of established business practices.
Addressing sourcing challenges
While these sourcing challenges may seem “routine” at first, they can lead to serious issues that disrupt entire supply chains for days – and even longer. Working with multiple supply chain partners requires impeccable coordination – both at the supply partners end as well as the retailers. With pandemic-infused staffing constraints, that may not always be possible
Imagine if a retailer has a loyal customer who wants his/her order filled immediately, and who is willing to pay premium prices over and above the list price – but the retailers’ order for resupply stock got delayed because of coordination challenges? It doesn’t just lead to lost revenue, but might also erode trust and confidence from a loyal customer.
So, what’s the answer? It’s simplification!
The best way to ensure you have an uninterrupted supply chain, is to spend more time identifying a broad-based supply partner, and then sourcing all your wholesale fashion clothing and accessory needs through that source. For example, imagine the simplification it would bring if you had a single reliable partner of wholesale purses, as opposed to seven of them?
Don’t over-think your supply chain. Sometimes, it pays to get back to the basics!