Both retailers and resellers are businesses that purchase, stock and sell products to make money. They may operate online, in brick-and-mortar shops or both. They purchase wholesalers and distributors, and then sell to businesses, consumers or consumers. While a variety of resellers are available There are two main types which are Dropshipping and Private Labeling. Private labeling occurs when resellers rebrand the product of an organization by adding their name, logo, and packaging. This kind of reselling practice is common in the tech industry where a computer maker might offer their own hardware, as well as third-party software and accessories.

Bundling is another type of reselling. This is the process where a reseller groups together similar products from different companies to create an attractive package. A reseller, for instance, might purchase digital cameras, memory cards and Photoshop Lightroom software made by different manufacturers to create a kit designed to help novice photographers to get started retailer vs reseller with digital photography.

Retailers typically purchase bulk quantities from distributors or wholesalers and then sell the items at a higher price to consumers. They also sell their products through marketplaces on the Internet like eBay or Amazon. Retailers provide a range of value-added services such as customization and technical support. They can also charge additional charges such as shipping and handle charges. For instance, Home Depot might charge more than Walmart for grills for barbecues because it has an actual store and is able to manage logistics, like distribution and storage.