Wholesale and retail trade (PKD section G)

• wholesale and retail trade (that is, sale without transformation) of all kinds of physical goods,
• service activities related to the sale of goods. Goods are physical, manufactured items for which there is demand, in respect of which ownership rights can be established and whose ownership can be transferred from one economic entity to another through market transactions. For this purpose, supportive activities are carried out, covering a range of trade-related operations without transformation of the goods. These activities include, among others, sorting, grading and assembling products, mixing or combining products (for example sand), bottling (preceded or not by washing bottles), packing, breaking into smaller lots and repacking goods for distribution in smaller lots, storing (including frozen or chilled) products. If these activities are not performed as typical trade activities, they may be carried out as principal, secondary or auxiliary activities and are classified in the appropriate subclasses of other sections.

If a wholesaler does not take ownership of the goods in which it trades, it should be classified in group 46.1. If a wholesaler takes ownership of the goods, even if it acts on behalf of a third party, the wholesaler is classified in groups 46.2 to 46.9.

• goods through a showroom - showroom (where the displayed goods may be purchased), through temporary sales outlets (for example pop-up stores), as well as in automated retail stores.

Most retailers take ownership of the goods they sell, but some act as agents for a principal and sell goods on order or on a commission basis. If a retailer does not take ownership of the goods in which it trades, it is classified in group 47.9. If a retailer takes ownership of the goods, even if it acts on behalf of third parties, it is classified in groups 47.1 to 47.8.

The classification does not make any distinction at the group and subclass level between retail sale in brick-and-mortar stores and online. Most retail activities involve both brick-and-mortar and online sales (and other distribution channels), and it is difficult to distinguish these two distribution/sales channels on the basis of the main sales methods. The share of online and brick-and-mortar sales may change over time, affecting the stability of the classification. The main classification criteria for retail trade in the classification are based on what is sold, not on the sales channels.

Retail sale through mail order or the Internet is classified according to the type of goods sold.

The distinction between wholesale and retail sale is not based on the quantity of goods sold, since wholesale sale may be carried out in small quantities, just as retail sale may be carried out in large quantities. Instead, the main distinction between wholesale and retail sale is the type of customer. Wholesale sale is usually carried out for economic entities, and retail sale for individual customers, such as households. If an economic entity sells indiscriminately to both economic entities and individual customers and it is practically impossible to determine the predominant type of customers, when determining the principal activity, it is recommended to treat the seller as a retailer.

The mixing of beverages, provided by the producer or contractor, is classified as manufacturing (section C). If it is carried out as an ordinary activity (or procedure) related to trade, it is considered an auxiliary activity and included in section G.

• This section also includes: - transit trade activities consisting in the purchase of goods and transporting them from one customs and fiscal area to another. Transit trade is a tripartite transaction in which the transit trader carries out export and import transactions between two or more different countries outside its economic territory. The economic entity involved in transit owns the goods during transport (unlike intermediaries, who do not take ownership of the goods that are the subject of the brokerage service)
• specialised and non-specialised activities in retail brokerage, classified in the relevant subclasses of group 47.9,
• sale of food or beverages through vending machines or automated sales points.

• trade in electricity, classified in 35.15.Z,
• trade in gaseous fuels for energy purposes in the network system, classified in 35.23.Z,
• trade in digital goods, streaming and downloading content on digital platforms (for example e-books, audio), which are classified in the relevant subclasses of section J,
• activity involving resale of prepaid telephone cards and services, classified in 61.20.Z,
• repair of motor vehicles including motorcycles, classified in the relevant subclasses of division 95,
• activities of cooperatives classified according to their principal activity.