I operate a “direct to the public” pricing regime for my products. This means that they are quite low prices with reasonably low profit margins. In some cases, this “direct to the public” pricing is cheaper than wholesale pricing for similar products that I have seen other businesses offer.
As I am considering starting a wholesale side to my business (whereby it is planned to sell the products to other stores for their re-sale), with each new product that arrives, I make sure there is enough profit margin so that I *might* be able to offer genuine wholesale pricing (50%) to re-sale customers.
But I just had this thought: Instead of pushing the prices of new products up and because much of the current products are priced quite low (as mentioned previously), what if I make all the current pricing the wholesale pricing and then make the retail pricing 50% on top of the wholesale pricing?
Does this seem sensible? If anyone has any views I’d appreciate it.