HOW TO MAKE 500K MONTHLY FROM SELLING GROCERIES IN WHOLESALE IN LAGOS, NIGERIA

Oya wake up, let’s do some business maths together.

Stand up jo. Sleep don do.

Are you ready?

Oya let’s press calculator and reason together.

500,000 ÷ 1500 = 334

Then, 334 ÷ 25 = 14

This is the simple mathematics that tells me how to make 500k a month from selling groceries in cartons.

Example – let me take a product like Vegetable Oil.

I locate a major distributor of maybe XYZ Oil so I can get the lowest possible market price.

Imagine price per carton is 14k

I add 1500 profit to carton price to get 15,500

If I can sell 14 cartons everyday, for 25 days in a month, I will make 500k profit.

Did you understand my maths?

If you didn’t understand it, sit up properly and go over it again.

Here is another example:

Let’s use Loya Milk (made by Promasidor, makers of Cowbell milk) as example

Distributors sells a carton of 12 units of 320g for 21500

21500 ÷ 12 = 1792

But in the supermarkets in my area, they are selling one unit for 2050 to 2200 Naira.

If I decide to sell this milk in cartons to households and make 500k, this is what I will do.

I will go into an agreement with a Distributor.

I will buy from Distributor at 21500, based on orders

Add 1500 profit to it

I get 23000

Then I tell my customers that when they buy this milk from me at 23k a carton, they are getting each unit for 1917 Naira as against 2k+ that they are buying in supermarkets.

I can build an entire business selling groceries/provisions in wholesale without having a shop.

I will sell online with a simple model of adding 1500 per carton.

Chioma, what about the logistics of delivery?

When I did my research, the distributors I spoke to already have vans and Keke for delivery. Once the customer buys their required minimum, it will be delivered.

So I can just ensure to define the required minimum and also define my area of coverage, so the Distributor can help with the delivery.

… and that’s how you can make 500k a month, selling groceries in wholesale, without owning a distributorship license, or warehouse, or inventory.

You can sell online.

You can build a list of your returning customers.

You can focus on 1,2 or 3 fast moving products.

Just sell them in cartons using the +1500 model.

There is a large market of people who want to buy in cartons and have it delivered to their doorstep.

Not everyone knows how to locate Distributors.

People in Lagos are too busy.

They just want lower prices and you are clearly offering them lower prices than where they normally buy.

This is an exciting business model that I hope to pursue some day.

Oya…

Let the argumentators argue.

Let those who caught the vision catch it.

There will always be both types of people when you share a business idea.

Someone somewhere immediately has a list of 100 reasons why it will not work.

But I have a list of 200 reasons why it will.

And it’s totally fine for us to have different views.

Let those who believe it will work execute on it.

Author: Chioma Eze