Wholesale furniture and the importance of warehouses
Wholesale furniture, to put it simply, is when furniture is shipped in large quantities from wholesalers to retailers. The high quantities mean that economies of scale can be utilised and there’s a lower price per unit Of course, this also implies that the total cost is higher but this can be justified by the profit margins on the sales to retailers. This margin can be different depending on the product type, price and colour, but it is higher for some types of furniture. This includes products like upholstered chairs, armchairs and sofas, and accessories such as tripod clocks, cutting boards and wall mirrors.
The key advantage linking all this together is the warehouse. Without a warehouse to store these products and process them, the logistical process would not work and a brick and mortar retailers or an e-commerce seller would have to hold stock on their premises. The other alternative to having a private warehouse and avoiding that massive expense and capital use for the long term, is to use a dropshipper.
Dropshippers essentially have a massive warehouse of their own where packaging, storage and shipping is done. They ship products directly to their retailer’s customers’ premises, and they can ship worldwide. This shows the importance of warehouses which in the wholesale and dropship world, can function as both storage centres and fulfilment centres. Warehouses here help in ensuring products are shipped in to a central unit and then orders are fulfilled worldwide after getting logistically sorted. There is a division between large furniture, small furniture and furnishings and accessories that is shipped with different shipping companies and comes in specific internet packaging that is tough enough for worldwide shipping. Large furniture includes furniture such as chest of drawer, side tables, Chesterfield sofa, dinner tables and butterfly tables, and finally even tall items such as a coat and umbrella stand. Smaller furniture that is packed and shipped from a different part of the warehouse includes items like bedsides, footstools, poufs, lamp tables and shoe benches. Finally, accessories are often wholesale products that are shipped from an entirely different section of the warehouse that is geared towards these small products. Due to their size, they’re very popular in Europe and with online sellers that rely on dropship and wholesale to source their niche. Examples of these products are table and floor lamps, incense sticks and back flow holders, salad bowls and wall decor.