Maybe you have found much success selling your product directly to consumers and now you want to sell in-store. Where do you start? and what do you need to have prepared before meeting with a store buyer?
Here are a few tips to keep in mind.
Pricing
When selling to retailers, your margin is typically much smaller than if you sell direct-to-consumer. Stores will generally buy goods at about 40% less than your suggested retail price. To get the best price when you’re selling your product, you’ll want to consider how much markup it has before introducing it to a store. There’s also an added benefit of having a higher markup if you sell your product into distribution channels.
Barcodes
Now that you have an idea of how wholesale costs come into play, having a barcode is a must. I’d suggest visiting GS1US.org- the cost of licenses is transparent, and logistics providers can set up a single to multiple items under a license for increased flexibility. You can learn more about bar codes by following this link gs1us.org.
Packaging
Before launching your product, review the packaging to remove any potentially infringing information. Make sure that the FDA has cleared all claims on the package before marketing. Double-check that every size, ingredient, and text was accurately inputted or edited.
Shipping
Shipping costs can go up or down and have a major impact on the running cost of your business. Make sure before you meet with your buyer it is clear who will be responsible for the cost of shipping. If you are paying for the shipping, it may be a good idea to set a minimum purchase. It’s not uncommon for brands to set a 1-case minimum. This also eliminates the hassle of having to break open a case in order to sell your product. Once you sell more than a single product SKU, breaking down cases can cause slowdowns in your warehouse and a higher cost in shipping out goods.
Promoting and Marketing
Stores will expect you to promote your product. This can be done in multiple ways and stores will typically work with you to decide the best option for your products. You can set a temporary price reduction, demos, or an ad placement. Do some marketing on your own! Make sure all your supporters know that your products are going to sold in that store after it has been added as a new item.
Be Excited
Once you’ve got everything in order to present your product, do not be afraid about being excited! You’ve got something great to share with the world. Tell them what makes your brand and products different from everything else out there.
Don’t be Afraid to Fail
If the buyer isn’t interested, don’t fret. There are plenty of stores to introduce your items to. Learn from the experience and continue to curate your products to the needs of your consumers and stores!
If you would like help on getting your products on the shelves of a store contact us today! We are happy to discuss the next steps for you and your brand. paulaherrera@3volutionorganics.net (323)240-6155