A trader adds a margin to a price they did not set. Buying direct means the same product, the same factory, and a lower landed cost.
Most small retailers never meet the people who make what they sell. Stock arrives through two or three hands, each adding a margin and a delay, and the price the shop pays has little to do with what the factory charges.
Buying direct changes the arithmetic. The producer quotes their own unit price, their own minimum and their own lead time. The buyer sees the specification, approves a sample and negotiates against a real cost base.
It also changes what is possible. A factory that already runs a line can add your label, your colours and your packaging, which is how a small brand starts to look like a real one.
SourcingCosting