Difference Between Vendor and Client

March 2022 · 3 minute read

The supply chain entails entities, persons, technologies, processes, and resources. All these parties ensure there is a smooth process from the production of products and services to the consumption. Persons involved in the supply chain include suppliers, producers, vendors, consumers, manufacturers, and dealers, in no order whatsoever. All these persons play different roles in ensuring a sufficient supply chain.

Vendor

This is a person who supplies goods to consumers and is the closest person to the consumer in the supply chain. With the aim of reselling a product and generating profit, a vendor has a business to customer relationship. Although they supply small quantities, goods sold by a vendor are mainly for use, with no further production processes.

Client

This is a person who uses professional services and pays a fee for the services as agreed between the parties involved. Clients sign agreements with the service providers and require personal attention throughout the contract term. Although most contracts are long term, others are short term. Among professional services where service receivers are referred to as clients include; doctors, lawyers, consultants, and finance consultants.

Similarities between Vendor and Client

Differences between Vendor and Client

Definition

A vendor refers to a person who suppliers goods to consumers and is the closest person to the consumer in the supply chain. On the other hand, a client refers to a person who uses professional services and pays a fee for the services as agreed between the parties involved.

Agreement

While a vendor has no agreement with the customers, a client has an agreement with the service providers.

Period of transaction

A vendor only sells goods to a customer hence has a short term relationship while a client has a long term contract with the service providers.

Personal attention

While a vendor does not require personal attention with the consumers, a client requires personal attention from the service providers.

Vendor vs. Client: Comparison Table

Summary of Vendor vs. Client

A vendor refers to a person who suppliers goods to consumers and is the closest person to the consumer in the supply chain. The relationship between a vendor and a consumer is short term and does not involve any agreements. Consumers hence do not require personal attention from the vendor.

On the other hand, a client refers to a person who uses professional services and pays a fee for the services as agreed between the parties involved. Due to the longevity of the contacts, service agreements are signed as agreed between the parties involved. Despite the differences, both vendors and clients are important parties in the business communities.


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