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How Does Software Reselling Work?

by Tom Fogden
February 13, 2020 - Updated on July 27, 2021
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management
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If you’re a company owner, whether you realized it at the time or not, you will have no doubt done business with a number of software resellers in the past. A professional reselling organization is a third-party that facilitates the use of new pieces of software. In layman’s terms, a reseller is a company that acts as a bridge between manufacturers and the consumers that make use of their software solutions.

Do you want to be more prepared when you next enter into an agreement with this kind of third-party? If so, be sure to read on to find out more about how software reselling actually works.

Reseller vs. distributors: what’s the difference?

 

If you have no prior experience in the field of software reselling, you will be forgiven for thinking that resellers and distributors do exactly the same thing. This, however, couldn’t be further from the truth. Here are the basic differences that you need to be aware of in this instance:

  • Distributors are heavily involved with the marketing, labeling, and branding of resold goods.
  • Resellers remain impartial throughout the reselling process and retain their stance as being a middle-man between the manufacturer and the custom.

Should you need ongoing assistance with any resold software that you purchase, you might want to consider aligning yourself with a distributor.

Support for legacy technology

Do you much prefer to invest in legacy technology simply because it has proven itself dependable time and time again? Have you ever found yourself incapable of modifying this type of tech simply because there’s no support out there to help you perform such an intricate task?

If so, you might want to consider purchasing your legacy technology from a reseller from now on. There are plenty of resellers out there who understand legacy technology and work closely with it on a day-to-day basis, one of which being Bytes. With the support that they offer at hand, you will find it much easier to optimize your legacy technology for the modern-day.

Why do companies offer a reselling service?

The reselling field is continuing to grow from strength to strength simply because there are a host of benefits to be reaped from offering this type of service.

Companies are currently clambering to offer a reselling service because:

  • It allows companies to sell an extensive amount of products at one time
  • It allows them to launch their business quickly and without much hassle
  • It allows them to circumvent the need to carry and hold inventory
  • It provides them with an easy opportunity to expand into other verticals
  • It lowers their time commitment and financial risk
  • It allows them to set their own sales margins

After having read all of the information above, you can now make a more informed decision the next time you are in need of a software solution. Going down the reselling route in this instance could help you to make massive savings, and it will provide you with access to a bigger inventory of technological tools.

Tags: Reseller vs. distributorsSoftware Reselling
Tom Fogden

Tom Fogden

Tom Fogden is a writer for Twollow with a range of experience in the world of tech publishing. Tom covers everything from cybersecurity, to social media and website builders when he's not reviewing the latest phones, gadgets, or occasionally even technology books.

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