We walk you through the differences between distributors vs resellers. Once you go through our document you will have a better idea of the similarities, differences, and which one is right for your business.

1. By: ExportAbroad.com - International Trade. Simplified.
Distributor vs. Reseller?
What is right for my business?
International Business Topics

2. How do I reach International customers?
❖ Complete market research for strategic feasibility
❖ After choosing a country, it is time to connect with a
Distributors or Reseller
❖ Both Distributors and Resellers have advantages and
disadvantages depending upon your company’s needs

3. Distributors: About
❖ Buys your products and sells to end customers
❖ Can manage sales between several resellers
❖ Normally buys your inventory, establishes a close
relationship with your company
❖ Often provides extra services like marketing, branding,
labeling help

4. Distributors: Advantages
❖ Will sell your products to physical retailers in their
territory
❖ Great for companies new to international trade*
❖ Tend to be more service oriented
❖ Holds onto your products and incentivized to sell
❖ Help introduce your company to top partners

5. Distributors: Disadvantages
❖ Require Higher Margins (Less profit)
❖ Extra service charges (May be necessary)
❖ [Insider Tip: Ensure you know all of your costs upfront
to ensure no miscommunication and final margins]

6. Resellers: About
❖ Finds retailers and buyers for your product
❖ NO inventory holding
❖ Acts more as a middlemen for your goods

7. Resellers: Disadvantages
❖ Less commitment than a distributor
❖ Will avoid signing commitments of revenue or sales
❖ Higher risk of inventory leftovers
❖ Possible loss of focus if your product loses momentum
in international market

8. Reseller: Advantages
❖ Better for more established companies and product lines
❖ Great strategy for companies without the resources to
setup physical locations abroad
❖ Can use multiple to get products in several countries at
a time

9. Recommendations
❖ New to international sales? = Distributor
❖ Want a high sales touch team? = Distributor
❖ Need other services other than just sales? = Distributor
❖ Have an established company with several lines of products? =
Reseller
❖ Want to spread different products among several countries in a
region? = Reseller
❖ Willing to accept more risk for more margin? = Reseller

10. Questions?
Contact our team at
info at exportabroad.com
Good Luck!