Key Factors to Consider When Choosing the Right B2B Marketplace for Fashion Wholesale

Wholesale primarily used to take place in physical spaces such as showrooms, but now it increasingly happens virtually on screens without needing to be in the same place.

‍

Thanks to digitization, brands and buyers can now choose from a wide range of B2B marketplaces to help them conduct wholesale business, but with each platform claiming to be the best and only a few truly specializing in fashion, choosing the right one has become increasingly challenging.

‍

This guide will provide you with the key factors to consider when evaluating B2B fashion marketplaces and break down some of the big questions when considering which platform suits your wholesale business best.

‍

What Is a B2B Fashion Marketplace and Why It Matters

A B2B fashion marketplace is a digital platform where brands, suppliers, and retailers connect to buy and sell wholesale fashion. Unlike B2C platforms, where end customers can shop directly, B2B platforms allow retailers to complete bulk transactions, gain access to wholesale pricing, and place repeat orders with ease.

‍

The best B2B fashion marketplaces offer their users access to a verified global network of brands and buyers, streamlined order and payment workflows, and tools such as digital showrooms and analytics.

‍

Key Factors to Consider When Choosing a B2B Fashion Marketplace

These are the wholesale platform selection criteria to consider when deciding which B2B fashion marketplace is best suited to your business:

‍

Target Market and Aesthetic Alignment

• Demographics: choose a platform that you are sure can offer you access to connections in your target market for the best chance of wholesale success.
  
  
• Branding and Presentation: ensure you join a platform that reflects the quality of your business to uphold your image and reputation in the industry. Aligning with a platform that does not match your brand persona could damage your perceived value.

‍

Logistics, Operations, and Fulfillment

• Minimum Order Quantity (MOQ): some B2B platforms allow brands to set customized MOQs, while others have different policies. Smaller brands looking to grow should look out for specific low-MOQ platforms, as some marketplaces specialize in this.
  
  
• Payment Capabilities: research different marketplaces’ payment terms and see how many currencies they accept. Global payment options are crucial for scaling wholesale internationally. You should also be on the lookout for integrated payment methods, as these will help to streamline your processes.
  
  
• Shipping Speed and Costs: think about your wholesale strategy and pick a platform that aligns with your goals. Are you looking to make connections with retailers that want to buy in-season and have product shipped immediately? Or do you need a platform where you can meet brands that follow the traditional sales cycle?

‍

• Dropshipping and Inventory-Free Selling: when choosing a B2B fashion marketplace, consider your inventory requirements. Do you have warehouses to hold stock, or will you be working with a third party to hold and manage stock for you? Your decision will affect the type of platform you’ll need, as many only offer brand-buyer exchanges, while others specialize in dropshipping.  

‍

Platform Features and Integrations

• Digital Tools: from virtual showrooms to shoppable linesheets and 360 video capabilities, all wholesale platforms offer different solutions. Identify which tools you think your business would benefit most from, and ensure the marketplace you select offers all of these services.

‍

• Integrations: check that your chosen platform can connect with all the software and tools you use regularly for business. The best B2B marketplaces will integrate with all the ERPs, PLMs, and POS systems you need to allow your wholesale data to flow seamlessly.
  
  
• Analytics & Insights: a benefit of digitizing your wholesale processes with a B2B platform is that you start to build a wealth of data around your business. Choose a marketplace that allows you access to your wholesale platform analytics and use these insights to help make smarter business decisions and drive growth. 

‍

Cost, Pricing Model, and ROI

• Subscription Based: fixed fee for premium features and verified access. Better for established brands that want to scale wholesale globally and connect with new retail partners. An example of a subscription-based platform would be JOOR.

‍

• Commission Based: percentage per sale commission. Primarily used by smaller brands that want to begin testing new markets and don’t have plans to scale. An example of a subscription-based platform would be Faire.

‍

Trust, Reputation, and Support

• Vendor Verification: choose a B2B platform with a vetted retailer network. This will reduce your risk and ensure that you only work with companies that align with your vision.
  
  
• Customer Support: a good customer support team is crucial when it comes to onboarding to the marketplace, helping your colleagues learn how to use the software correctly, and assisting you in addressing urgent queries. The best platforms will offer 24/7 support to aid international businesses across multiple time zones.
  
  
• Community Reviews: listen to what others in your industry are saying about your chosen B2B platforms. Are you hearing about their shortcomings more than their successes? Have your associates found success on a certain marketplace?

‍

Global Reach and Scalability

• Multi-language and multi-currency support: international wholesale business requires a B2B fashion platform that can support a wide range of languages and currencies.

‍

Conclusion

You should now be equipped with all the tools and tips needed to select the ideal B2B platform for your fashion business. Not sure where to find trusted luxury fashion retailers? Register for a free demo of JOOR today. 

‍

FAQs

Which marketplace is best for small boutiques?

There are a number of B2B fashion marketplaces suited to small boutiques. JOOR Discover can help independent and specialty stores connect with brands from around the world to bring their customers the most unique and sought-after assortments.

How can I ensure product quality before ordering in bulk?

Fashion buyers concerned about buying in bulk can place a smaller initial order from a brand before committing to a large order.

How do I evaluate a marketplace’s trustworthiness?

Reading community reviews, listening to opinions from colleagues in your industry, and checking for compliance across areas of importance will help you determine which B2B fashion marketplace is most trustworthy. 

Do all B2B marketplaces require a business license?

Different B2B marketplaces will have different verification requirements for users, but nearly all reputable companies will require proof of business in the form of a license or tax identification number.