Reseller

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What is a Reseller?

reseller refers to a business that purchases goods or services with the intention of selling them rather than consuming or using them. This often involves the reseller buying from the original manufacturer or a distributor at a discount and selling the product for a profit.

Example: A company that specializes in office supplies purchases bulk quantities of software licenses from a SaaS (Software as a Service) provider. The company then sells these licenses individually to various small businesses. This partnership allows the reseller to provide added value to its customers by offering relevant software solutions alongside traditional office products, while the SaaS provider benefits from increased distribution and sales without directly managing small-scale customer relationships.

  • Resellers can contribute to expanding the market reach of a product or service.
  • They often provide additional distribution channels for manufacturers and software developers.
  • Reseller partnerships can lead to synergy by combining product offerings for a more comprehensive solution to the end customer.

Understanding reseller helps businesses strategize on expanding market penetration, diversifying their product line, and developing partnerships that leverage complementary strengths for mutual benefit.