Vendor Central on Tira is the enterprise B2B model. Tira's vendor team places purchase orders based on demand forecasts, you fulfil into Tira's warehouses, and Tira takes over customer sales + returns + service. It's a fundamentally different economic model from marketplace — trade higher price realisation for volume, stability, and ranking.
Marketplace vs Vendor Central — Head-to-Head
| Dimension | Marketplace | Vendor Central |
|---|---|---|
| You own inventory | Yes | No — Tira buys it |
| Commission / margin | 35% commission | 40-50% wholesale discount |
| Payment cycle | 20–30 days | 20–30 days (from PO ack) |
| Working capital | Yours (inventory tied up) | Yours + PO-basis |
| Returns handling | You bear cost | Tira bears end-customer returns |
| Ranking priority | Standard | Boosted (Tira's own inventory) |
| Setup timeline | 20–30 days | 4-8 weeks |
When to choose Vendor Central over Marketplace on Tira
- FMCG / grocery / quick-commerce → Vendor Central is often the only path on quick commerce
- Volume > ₹5Cr/year expected → Vendor Central preferable
- Brand cannot handle end-customer returns → Vendor Central shifts burden to Tira
- Category is oversupplied on marketplace → Vendor Central gives ranking boost
- You want stable monthly revenue vs variable sales → PO-basis is predictable
The Vendor Central negotiation levers
- 1Wholesale discount %Starts at 40-45%; negotiable to 30-35% for hero brands with proof of D2C demand.
- 2PO frequency + volumeWeekly / monthly POs. Higher-frequency = lower inventory risk for you.
- 3Returns liabilityStandard: 100% seller-borne for damage; negotiable to 50-50 for hero brands.
- 4Category placement + featuredVendor Central brands get preferential category-featured slots.
- 5MDF (Market Development Funds)Additional 3-8% of PO value can be negotiated for marketing/co-op advertising.
