Wholesalers may provide various services to producers or manufacturers:
  • Pay for transportation or products.
  • Provide assistance with warehousing because they usually hold producers' goods in inventory.
  • Assume financial losses when they have extended credit to buyers that become undependable.
  • Buy quantities of products from producers and pay them promptly.
  • Provide efficient movement of information within the marketing channel. (When wholesalers conduct market research and analyze market trends, everyone in the channel benefits.)
  • Share knowledge of foreign markets. (This is particularly useful when a producer is moving into international trade.)