E-Cigarette B2B Partnership Models: Wholesale vs Custom

With a rapid growth of the e-cigarette market, many businesses want to participate in this field to have their share of the success. Companies willing to sell e-cigarettes have to pick the correct B2B partnership model which is super important. The two main types are the wholesale and the custom solutions of the business. Every model has its unique advantages and the way to pick the right one for you depends heavily on your business objectives.

Wholesale Model

The wholesale model is the easiest and the quickest way without many hassles to get into a new market. In wholesale, companies buy off-the-shelf e-cigarettes in large quantities at reduced prices and then resell them to their customers/users.

Advantages of wholesale:

• Lower unit price when purchasing in large quantities.
• Immediate stock access without production waiting time.
• Simplified logistics can be done with already established product lines.

It is a model created by businesses that desire to test a market in a quick way or concentrate on sales without the worries of manufacturing and production.

Custom Model

The custom model lets businesses make e-cigarettes of their own design, flavor, and package. This is usually referred to as OEM (Original Equipment Manufacturer) or ODM (Original Design Manufacturer).

Advantages of custom:

• Branding is your key to standing out from the other players of the market.
• The design is conveniently adjustable, such as the shape, colors, and e-liquid flavors.
• Customers’ loyalty grows stronger when a brand provides them with products that are exclusive to them.

This model would suit a company planning to build a strong presence in the e-cigarette market and be distinguishable from the competition in the long run.

Which One Should You Choose?

• If you need a quick start and want to minimize risk, then wholesale would be the ideal choice.
• If you want to become a strong brand and gain loyal customers, then custom would be the best option.

A lot of companies begin with wholesale and later switch to custom as they get insights about the market.

Conclusion

Both wholesale and custom B2B models have their pros and cons. The decision of the right one depends on your business plan, budget, and long-term vision. If you are looking for a partner to help you discover both possibilities, find out more at AMXIM .