Here are definitions of typical terms ( Glossary ) used in the Wholesale Distribution Business. When you call a wholesaler or manufacturer you will need to know where and how your cost on items are applied from so you can be competitive and profitable in sales. We will supply you a complete list of Aftermarket Car Accessories, Automotive Performance Car Parts, Wholesale Distributors and Aftermarket parts Manufacturers for your own use. This will make your life simple when searching for a place to buy your inventory why have it hidden out of your reach and have to pay money to join GRO Project to get it. (stay tuned for the list only in OUR FORUM )

Glossary:

MSRP – Manufacturer Suggested Retail Price (Mfg can only suggest a retail price by law)

Jobber – Base retailer price or cost (your local auto parts store was the original Jobber) Generally 30% off MSRP is how many Manufacturers set Jobber price but there is no standard. Discounts “off Jobber” were intended to be a reward system for higher retailer sales volume. Discount percentages vary by mfg so don’t be concerned too much with vast differences. Jobber price today is, in most cases, the street price on the internet.

MAP – Minimum Advertising Price (sometimes called Manufacturer Absolute Price) Manufacturers set what the lowest “market price” or street price can be and violators of policy can lose line buying privileges. Legal as long as it is applied and enforced equally in the market (is not price fixing).

Market Price – advertised web price or “Street Price” is typically competitive fair market value, and is usually the same as the Jobber price. MSRP is rarely considered market price unless the manufacturer set the MAP Price at MSRP. Fair market value of some products is controlled by supply and demand. If the manufacturer does not control the market price by applying a MAP, then anyone can sell the products at whatever price they want ranging from below Jobber or even above MSRP.

Dealer (Retailer) – Is a retailer who sells to the end consumer. Dealer price is usually a price that the distributor charges a retailer. It is designed so that the retailer or dealer can still mark-up the product and make a profit. This price is typically some percentage discount from either the MSRP or the Jobber price.

Distributor – Is a discount for a stocking distributor that sells to retailers (IE: Carquest, NAPA stores) Distributors may also have a retail operation under the same company name. If a retailer has a good discount with their supplier than a retailer can become both a retailer and a distributor selling both retail to end consumers and wholesale to other retailers.

Wholesale Distributor – Also referred as WD, is an additional discount for a stocking distributor that sells to other smaller distributors and retailers (generally a medium size warehouse)

Master Wholesale Distributor – Also referred as MWD, is an additional discount beyond the WD discount for master wholesale distributors that distribute to resellers and often sells to other wholesale distributors (National warehouses)

Buy-in – a sizeable stocking order to earn a deeper discounts on product lines

Thanks – Gro-Pro