Trying to decide if I should buy from regional jewelry distributors or try to go direct to a factory. What are the pros and cons regarding pricing and minimum order quantities?
Buying from regional distributors usually means you are paying a hefty middleman markup that directly eats into your net profits. I highly recommend switching to direct factory jewelry sourcing if you want to maximize your margins and have better control over stock. I made the switch to a domestic manufacturer last year and the difference in my boutique's profitability was immediate. Not only are the base prices better, but the communication regarding stock levels and production times is much clearer when dealing straight with the source rather than a broker.
