How Wholesaling Has Helped Strengthen Gelato Businesses

February 24, 2016 by  
Filed under Business Services, Food, Goods and Services

The smooth and creamy gelato is a beloved dessert in Italy but has struggled to maintain a foothold in the U.S. due to the low-quality interpretations that are currently being sold. However, there are successful gelato businesses that have crafted the tastiest recipes, and they’re finding successes beyond the typical brick and mortar store.

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Gelato businesses have one thing in common, they want to be successful and create the best gelato. Most independent businesses start out with a brick and mortar store and depending on their success find themselves at a crossroads. Do they want to continue their shop and possibly expand, or add wholesaling to their business plan?

Wholesaling

Businesses wholesale to grow their business and meet the demands of the market. When it comes to running a gelateria, wholesaling can put owners in the position of a middleman for other businesses. This can be a lucrative opportunity for many businesses that are already finding success in their brick and mortar stores. Additionally, gelato suppliers are finding the addition of wholesaling to their arsenal to be a fruitful endeavor thanks to the part of spreading their brand name outside of their reach.

Risks

As with any business decision, there are risks involved. Wholesaling can ultimately result in lower profits if there is a sudden drop in demand, leaving businesses with an abundance of products without an inventory to stock. Going full wholesale is less risky because of the lower overhead. Owning a shop comes with rent, utilities, property taxes, restocking of supplies such as gelato cups and spoons, and other expenses.

Trends Are Based on Market Demand

The success of wholesaling is dependent on the marketing demand. If the trend has been strong, your gelato business could take on a plethora of clients to cater to and bring in a steady income. If you’re planning to wholesale while running a shop, there isn’t much risk involved and really only involves an extra step.

If your business has been slow, wholesaling on the side can net you an extra revenue stream to pick up the slack of your business. It also allows you to advertise your product in multiple locations at once for cross-promotions with the businesses that you’re partnered up with.

The Bottom Line

Wholesaling has the advantage of bringing in an extra stream of income to a shop. Today, many gelato businesses are taking advantage of it to create business connections, earn reinvestment funds, and increase their market share. Selling more products without having to dish out additional funds certainly sounds appealing, doesn’t it? If your passion is driving your ambitious nature, thousands of possibilities will open up before your eyes.
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Gelato Products carries thousands of premium dessert supplies such as: gelato pan liners, gelato cups, and frozen yogurt cups.

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