In the internet age, where it was thought that things will go smoothly, businessmen started encountering large number of supply frauds. Therefore, it has become important to verify your supplier before a person starts working with him. Due diligence or supplier verification is a simple process in which a Wholesale buyer conducts investigation before placing an order. The process is just to examine a supplier against “red signals” that can alert a buyer to a potential scammer. The whole process is necessary to perform before making a large purchase order.

The internet has given convenience to suppliers to expand their business everywhere around the world. At the same time, it has given an equal chance to the scammers to spring up. It has become easy for the unwary or new business entrants to get scalped on the internet. Therefore, it is necessary for the wholesalers to perform due diligence to avoid being trapped by the scammers. “To shun any deception” is not the only reason to perform verification; we have certain other pointers that make it necessary to scrutinize the supplier. Following points describe the importance of supplier verification.

To save Business Repute:

Due diligence is important to save and maintain the repute of your business. It is integral to check the quality, your supplier is delivering to you. You must know exactly what materials and products you are going to obtain and what will you deliver ahead to your customers. Product samples of Manufacturers are thousands times better than the product images. You must ask your supplier to send you the product samples before making a purchase. If samples don’t meet your standards, it means you should not place purchase order.

To keep Customers:

It is important to grow your business by winning new customers besides retaining old ones. The secret of retaining the customers is to provide them good quality products Quality check is important to meet the standards of your customers to retain them with you for lifetime. If you can not provide them same quality, they are looking for, you will certainly lose them. Likewise, you will be unable to win new loyal customers for your business if your products are inferior in quality.

To maintain a Competitive Edge:

When it comes to quality issues, it is important to know the quality standards of other wholesalers within same niche. You must check other wholesalers’ quality standards to establish your own benchmark. Once you know what you should offer to your customers, you can not place any substandard wholesale order. To set and maintain your competitive edge and to grab larger market share, you need to offer better quality than your competitors.

These are few points signifying why supplier verification is important before placing wholesale order. These pointers are the only way out to achieve long term success in wholesale business.

Author's Bio: 

William King is the director of Wholesale, Manufacturers, Distributors and Wholesale Suppliers. He has 18 years of experience in the marketing and trading industries and has been helping retailers and startups with their product sourcing, promotion, marketing and supply chain requirements.