In an attempt “to level the playing field between online sales and shop front sales”, Bee Jewellery has abolished its ‘wholesale price’ and replaced it with a new ‘one market price’.
Bee Jewellery managing director Steven Sesselmann said he took the bold step of abolishing the company’s wholesale price system because “something had to be done as online sellers operating from private homes were undercutting retailers who pay high rents”.
“We carried out extensive research into the Australian jewellery market to determine what consumers are actually paying for similar products, ignoring the inflated ‘was’ price, and looking at the actual ‘sell’ price,” he said.
“The result was that Bee Jewellery had to be re-priced to the new ‘market price’ which represents a massive drop of almost 25 percent on last year’s RRP, which goes to show, how competitive the jewellery market is at the moment.”
Sesselman said approved Bee Jewellery resellers now receive discount according to their volume of business with “genuine brick and mortar resellers enjoying an extra discount”.
The company is also offering additional discounts to resellers who place their orders online as “self-entered orders” result in cost savings due to less errors and the elimination of “double entry of order data from fax and email to invoice”.