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Thread: How to get your new product into stores

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    How to get your new product into stores

    Hi, i would like to know how do you go about getting your new product into independent stores and major national stores like Game, Clicks ect.

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    At a guess: phone the head office and see if you can get hold of one of the buyers - arrange a meeting and then knock their socks off with a brillent presentation and fantasic margins with superb back-up!

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    It is important to show them the benefit your product will bring to them. It is also important to show that the relationship is worth while, that you will help support the sales of the product whether it be by advertising, word of mouth campaign, or point of purchase strategy

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    Dave A (10-Apr-10)

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    A new website has been created by Tramp magazine named DIOSCURI and will be stocking brands and products from different designers or fashion houses. I think they will advertise DIOSCURI heavily in their magazine as the new fashion section I was told which means people or business who have there products listed will benefit hugely.

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    Diamond Member adrianh's Avatar
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    Be very very careful of large retailers. They squeeze the crap out of you and the are known to pay very very late. You should look at a couple of factors before you decide on the type of store you wich to sell to:

    The cost of the product
    The expected profitability
    Your ability to deliver volumes
    The longest time you can wait to get your payments
    etc.
    How easily someone is offended is directly proportional to how stupid they are.
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    Full Member shani's Avatar
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    In China ,if anyone want to sale product to indepentend stores, people often bring some brochure or pictures of products and quotation or a sample,and go straight to the stores to show the good quality and best price.

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    I have to agree with Adrian about large chains. They expect to buy the product at a very low price and then make you wait for payment up to 3 months. If you can deal with that cash flow and profit-wise, no problem.

    I don't know what product you have, but I prefer dealing with independents. My website brought me a lot of wholesale business and the right trade show could work too. I don't know how the new laws affect bulk email, but that is another avenue I have had a lot of success with. Otherwise, nothing like cold-calling, although it is advisable to phone and make an appointment first, as the decision-makers are often not there when you arrive.

    Agents are also good, but your pricing structure must be such that you can afford their cut.

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    New Member tasch_a's Avatar
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    Hi there,

    I used to work for a buyer for a large retailer and all I can say is the guys above are all correct. They will squeeze a rebate out of you, they pay normally on 30days from statement (if you're lucky) and to get in, you have to pitch to the buyer who gets about 50 requests a day for new products. My suggestion would be to sell direct (via websites, smaller stores etc first) unless you can handle the cash flow "issue". What kind of product are you selling?

    Tasch

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    Gold Member Singhms's Avatar
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    As all the above mentions, I think a little more info is required?

    are you just starting off or established?
    what type of product it is (give an indication if you dont want to give the entire product away)
    what sort of volumes are you looking at?
    are you location based\national?
    etc....
    Visit our online store SINGHMS RETAIL and sign up to receive a 10% discount off your first purchase.
    Follow us on our facebook page SINGHMS RETAIL FACEBOOK for instant updates.
    New products and discounts added daily.

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    Diamond Member Blurock's Avatar
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    Good advice given by the Forum. If however, you still think that you aught to be on the shelves of Massmart and the others, here are some thoughts of my own;

    10 things to consider as an SMME when launching a new product into national chains:
    1. Can you handle the volumes - no use getting orders and you can only deliver 20 - 100 units at a time.
    2. Can you handle the volumes - can you meet deadlines? If you get a huge order you don't have 6 months to deliver!
    3. Can you handle the volumes - can you meet production targets and manufacture high volumes?
    4. Can you handle the volumes - how will you deliver to various outlets all over the country?
    5. Can you handle the volumes - do you have adequate packaging that is stackable, can be transported and can protect the product while also having aesthetic appeal?
    6. Can you handle the volumes - do you have the financial resources to fund raw material, WIP, stock and debtors?
    7. Can you handle the volumes - who will be doing the merchandising? The retailers will not do it for you.
    8. Can you handle the volumes - do you have the infrastructure to manage the associated admin?
    9. Can you handle the volumes - do you have adequate risk management procedures and insurance in place to handle claims and losses? (Also consider the consumer protection act)
    10. Can you compete with what is already on the market, as well as with substitute products?

    Of course it is all volume based. Retailers will still want their rebates and promotional items on top of it all.

    I hope I have not put you off launching your product. There are some good and experienced distributors and merchandisers out there that will do your warehousing, distribution and also the collection of payment from the retailer. Unfortunately this comes at a huge cost and you can give away up to 18%. This cost may however still be justifiable considering that it eliminates having a fleet of delivery vehicles, warehousing and a merchandising team.

    Good luck!
    Excellence is not a skill; its an attitude...

  13. Thank given for this post:

    Dave A (12-Sep-11), Newretailer (12-Sep-11), roryf (12-Sep-11)

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