A common challenge that farmers face is whether to sell wholesale or retail. If you sell wholesale, you typically charge a lower unit price (say, $3/pound for lettuce vs. $6/pound retail). But it takes less time and expense to sell wholesale. How do you decide if it makes more sense to sell wholesale or retail?
With this tool, you can evaluate the opportunity cost of selling through different sales channels with different pricing structures.
In order to use this calculator, you’ll need to know:
- What is your cost of production?
- What kind of discount do you offer your wholesale customers.
If you need extra help applying this template your specific business, you can sign up for an hour of one-on-one coaching.