Key takeaway: Protect margin by calculating profit per sellable unit, not the difference between quoted wholesale price and advertised retail price. Include every cost and use measured acceptance and return rates.

Build a complete unit-economics model

Begin with purchase cost, then add freight, payment costs, inspection, cleaning, accessories, repair, marketplace fees, fulfilment and the expected cost of customer returns. Divide shared batch costs by the number of units expected to be sellable at the planned grade.

Separate price, yield and speed

MetricWhat it shows
Gross margin per sold unitCommercial return before overhead allocation
Sellable yieldShare of the batch ready for the intended channel
Days in stockHow long cash remains tied to inventory
Markdown rateHow often the original selling price must be reduced
Return or fault costDownstream cost of quality and listing mismatch

Reduce variation before negotiating price

A precise specification can protect more margin than a small unit-price reduction. Align grading, battery, lock status, region and functional tests so fewer devices need unexpected rework or a lower selling grade.

Manage ageing stock early

Set review points for every stock line. If views, enquiries or conversion fall below plan, adjust pricing, channel or bundle strategy before the stock becomes difficult to place. Purchasing teams should see ageing and sell-through data before approving a reorder.

Use supplier performance in future quotes

Record batch-level acceptance, downgrade, repair and shortage rates. Feed those costs back into the expected landed cost for the next quotation. The wholesale pricing guide provides a comparison framework.

Frequently asked questions

What is sellable yield?

Sellable yield is the percentage of received units that meet the specification for the intended sales channel without unplanned work or downgrade.

Why can cheaper wholesale stock produce less profit?

Lower-priced stock may require more testing, repair, discounting or customer-service cost, and it may remain in inventory longer.

Which margin metric should a reseller watch?

Track gross profit per sold unit together with sellable yield, stock turn and return cost. No single metric gives the complete result.