What Is The Difference Between A Dealer and A Manufacturer

Dealer vs Manufacturer: What’s the Difference When Buying a Metal Building?

When you start shopping for a metal building, garage, barndominium, or carport, one of the first things you’ll hear is terms like dealer and manufacturer. Most buyers assume they mean the same thing—or that working through a dealer increases the price.

That’s not how the system actually works.

Understanding how manufacturers and dealers operate will help you make a smarter purchase, avoid costly design mistakes, and feel confident in your investment from day one.

What Is a Manufacturer?

A manufacturer is the company that actually builds your metal structure.

They are responsible for:

• Engineering and designing the building systems

• Fabricating the steel components

• Producing the structure in their facility

• Setting the base (MSRP) pricing for the building

• Ensuring the structure meets engineering and code standards

  
  

However, most manufacturers do not work directly with customers.

Instead, they:

• Focus entirely on production and fabrication

• Rely on approved dealers to handle customer interaction

• Provide pricing and build specs through dealer networks

  
  

Manufacturers typically allocate a portion of the total value to dealers because they are not set up to handle direct-to-consumer sales. This structure allows them to stay focused on what they do best—manufacturing.

It also saves them significant time by removing the design, quoting, and customer consultation process from their workload.

For that reason, manufacturers prefer approved dealers act as the front-facing sales and design team, creating a smoother and more efficient process for everyone involved.

What Is a Dealer?

A dealer is the company you work with directly when planning and purchasing your building.

A dealer helps you:

• Design your building based on your needs

• Walk you through sizes, styles, and upgrades

• Provide accurate quotes using manufacturer pricing

• Submit your order to the manufacturer

• Act as your main point of contact from start to finish

  
  

Think of a dealer as your project guide and design consultant—the bridge between your idea and the manufacturer’s production floor.

How Pricing Actually Works

One of the biggest misconceptions in the industry is that dealers increase pricing.

In reality, pricing is set by the manufacturer as MSRP (base pricing).

That means:

• The manufacturer determines the core pricing

• The dealer does not add a markup to inflate costs

• You are still buying at manufacturer pricing levels

  
  

In many cases, dealers are also approved to offer limited discounts when available—either through manufacturer promotions or authorized dealer incentives.

Dealer vs Manufacturer: Simple Breakdown

• Manufacturer = builds the structure

• Dealer = helps design, quote, and coordinate the order

  
  

Both roles are essential, but they serve completely different purposes in the process.

Online Dealer vs Brick-and-Mortar Dealer

Not all dealers operate the same way. In the metal building industry, there are two main types: online dealers and brick-and-mortar dealers.

Online Dealers

Online dealers operate digitally and are not tied to a physical showroom location.

Key advantages:

• Can partner with multiple manufacturers

• Greater flexibility in matching you to the right building system

• Ability to compare options across different manufacturers quickly

• Easier to tailor solutions for:

  
  

  • Color options

  • Width and height requirements

  • Material types and upgrades

  • Installation surface (concrete, dirt, gravel, etc.)

  • Local code and permitting requirements (we do not pull permits, but we match you with manufacturers that meet those requirements)

    
    

This flexibility is a major advantage because it allows the dealer to focus on finding the best fit for your specific project, not just one manufacturer’s catalog.

Brick-and-Mortar Dealers

Brick-and-mortar dealers operate from physical locations or showrooms.

Their structure is different because:

• They typically partner with a limited number of manufacturers

• Many partnerships are tied to display agreements (manufacturers provide showroom models in exchange for exclusivity or sales focus)

• Their product options may be more restricted due to these agreements

  
  

In some cases, brick-and-mortar dealers can work with multiple manufacturers—but this usually requires paying for displays or meeting strict contractual terms. As a result, most physical dealerships are more limited in manufacturer variety.

Car Dealership Example (Easy Way to Understand It)

A helpful way to understand this system is to compare it to car dealerships.

You don’t go directly to Honda or Toyota to purchase a vehicle—you go through a dealership.

However, there is one key difference:

• In the car industry, dealerships often add markups above MSRP, especially on high-demand or limited vehicles

• In the metal building industry, dealers typically do NOT add markup to MSRP

• Pricing is generally passed through directly from the manufacturer

  
  

Instead, metal building dealers earn their role by coordinating the sale, not inflating the price.

Just like car dealerships, metal building dealers are also sometimes authorized to offer limited discounts, depending on manufacturer promotions or approved dealer incentives.

Why Use a Dealer at All?

Even though pricing comes from the manufacturer, using a dealer is important because metal buildings require more planning than most buyers realize.

A dealer helps you:

• Avoid incorrect sizing or layout mistakes

• Understand upgrade options clearly

• Navigate engineering and design requirements

• Match your needs to the right manufacturer

• Simplify communication from start to finish

  
  

Without a dealer, customers would be forced to navigate technical specifications, options, and manufacturer requirements alone—which often leads to costly errors.

How Redemption Steel Fits In

At Redemption Steel, we work directly with manufacturers to provide accurate, transparent pricing with no unnecessary markups.

Because we operate as an online dealer, we are able to work with multiple manufacturers, which gives you more flexibility in designing the right building for your needs.

We help you:

• Compare options across manufacturers

• Match your design to the right system and specifications

• Ensure your building fits your intended use and location

• Get accurate pricing directly from the manufacturer network

• Move from idea to order without confusion or pressure

  
  

Whether you’re planning a barndominium, garage, RV cover, or full metal building, our goal is simple: make the process easier, clearer, and more accurate from start to finish.

Ready to Build? Let’s Design It Together

If you’re thinking about a metal building, the best first step is getting a clear design and accurate pricing based on your exact needs.

Instead of guessing sizes, options, or costs, let’s walk through it together and build something that actually works for your property and goals.

👉 Get a free quote from Redemption Steel today and start designing your building the right way from the beginning.

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