One of the usual comments you probably hear is that the retailer is always the bad guy, and that buying wholesale and in bulk is one of the best ways to get the cheapest deals when it comes to basic goods and commodities. In reality, however, it is also possible for you lose money while buying in bulk. Here are some of the ways that your plan of getting goods wholesale and in bulk can actually backfire on you.
- Unnecessary products. In reality, more is not always merrier. There are some items that you should choose carefully so that you will only need to purchase one or two. Sometimes, buying more goods than necessary will only be a waste of your money and investments. Imagine that you are a homemaker looking for a set of new china. Buying more plates than you will actually ever use for your family and while entertaining guests means that you are losing money in unnecessary products that will never be used in any case.
- Spoiled goods. Not only are some bulk products unnecessary, but they may also spoil. Foods are some of the usual items that you should avoid buying in bulk since they can perish. Apart from this, however, there are other household items that can actually become useless when stored around the house for too long. Even toilet paper, for instance, can gather moisture from the house if kept stored in the closet for a very long time. It can even add to the clutter around the house.
- Shipping and storage costs. For business managers and entrepreneurs, buying in bulk is one of the easiest ways to reduce product cost. Sometimes, however, the shipping and storage costs that you need to take in order to maintain your bulk goods can be very expensive and can get you to lose more money than you have saved in buying in bulk. If you buy merchandise that will need to be shipped via a chartered truck and stored in rented storage units, the over-all price of maintaining the goods can come and bite you in the end especially if the products are not immediately purchased.
- Have more, use more. Sometimes, the idea of having items in bulk is enough to drive people to consume more than is necessary. Buying chips and soda in bulk, for instance, can make you feast on these items more than you would normally have done if you had only purchased enough for a week or so. The same applies in the office. When your staff knows that there are more reams of paper, paper clips, and markers, the urge to conserve supplies is lessened and more employees are likely to stop reusing their scrap papers or immediately throw sheets that have only been minimally used.
In the end, it is not enough to buy plenty. You should also buy smart. By purchasing only what you need, you will be able to save as much money as when you are buying in bulk.