Series 8 of popular BBC programme The Apprentice is in full swing and last night’s episode was all about wholesale. We look at the task and share some tips on how to improve wholesale performance.
The candidates, instructed by Lord Sugar, went to a cash and carry wholesale warehouse to pick products to sell on to the British public. The wholesale supplier stocked a variety of products and amongst the stock chosen was fake tan, fake eyelashes, toys, beard trimmers and hot water bottles. The candidates were then tasked with selling these items on at a market stall and in a shopping centre in Essex.
The entire idea of last night’s task was to ‘smell what sells’ and to replenish stock with the most popular products throughout the day. And there were some definite healthy margins to be made. One of the teams spotted an opportunity to sell fake tan to the largely female shoppers. Buying the bottles from the wholesaler at £2, the team were able to sell them on for £10 – a whopping £8 per unit profit!
By the end of the day each team had made healthy sales. Although they started out with only £150 to buy the goods, both teams ended up with almost £1,000 in assets by the end of the day.
So how did they make this much return? Following the episode the team at Wholesale Scout have recapped and listed some wholesale tips below to ensure you can make the most of your selling:
One of the teams did make a big error with the re-investment of stock. Although one of their products, a toy bug, was a huge hit with the public, when it came to replenishing the team bought a variety of products. This inevitably left them with excess stock which they had to slash prices on in order to sell on.
Tip: If you’re planning on purchasing products ensure you know your market and what sells and re-invest accordingly to ensure you are always able to sell stock.
Some random products were selected in a rush, due to too much time being spent debating a location. This resulted in some products staying on the shelf.
Tip: Spend time researching your market – have a vague idea of what products might sell well and invest time in product selection.
The teams had to choose the area they were going to sell in by looking at a map and didn’t have much time to assess where the best place would be.
Tip: Unlike the candidates in The Apprentice, you won’t be restricted by time because of a task! So attend the place you plan to sell at. Look at what other people are selling, try and find out what is popular and also find out what applications you need to submit in order to sell there.
At one point some of the candidates were in a market place selling products at a much higher price than the other traders. This led to them needing to slash prices.
Tip: Price competitively and know your bottom line. Price your products competitively and know what your bottom line is so you can negotiate and still turn a profit.
