I need your help. I need to get retailers for my new product, Shrinkins The Healing Art. www.shrinkins.com
I think my product can be retailed by Hospital Gift Shops, Physical Therapy Centers, Orthopedic Doctors Offices, Pharmacies, and Medical Supply Companies. I am all set up with a website and Inventory. I can Drop ship or wholesale Inventory. I am ready to sell to them, but I want to do it right.
1.) How do I know how much to wholesale my product for? Is there a certain markup that is used? My product costs about $3 packaged. It is retailed at $19.99. How much should I wholesale it for and what qty should I require? I'm assuming if I drop ship the product those retailers should profit less than the ones that buy the inventory. Is their a percentage that is normally used for markup for retailers drop shipping vs. retailers buying it wholesale?
2.) Is there a sample letter on what to say when you contact potential retailers via email or a sample of what to say on the phone to get them to consider selling/offering your product?
I really need your opinions or links to articles for help. I have great product but am stalling because of lack of knowledge in this area. Thank you SO much. Tracie
My product is Shrinkins. I sell on line in the USA and want companies to beable to buy it wholesale and retail it themselves. Ultimatley I want to license it to a manufacturer.
I am not sure what to do, a European company wants to distribute my product in Europe. He wants to be exclusive, so he is the big cheese, and can sell to other distributers..
So would I make him pay me a sum for being exclusive and then wholesale a certain qty to him?
Would I just require a very big order or require him to buy a certain amount every six months to be able to keep being able to have the exclusivity?
Should I just license it to him?I'm not sure he'd want to... although I only have a patent pending in the USA, so I have no idea how that would work or even if I had anything to license him since it isn't in the USA.
... here is what he is asking me. Any help or ideas are GREATLY appreciated.
One area he wrote: We are only 4 years old, are smaller but we have a network of dealers and two independant sales reps. When we take on a new product we look for two things, branding and exclusivity. We require at least one and desire both. What I would prefer is to buy from you, sell worldwide but have exclusivity for Europe. That is, hopefully you do not have your brand name on the product, so we can rebrand it with our brand name. Then, we will try to develop our brand of Shrinkins. And we would prefer to have exclusivity for Europe.
We sell to distributors who sell to dealers. Everyone in the process is looking for some kind of profitablity. In order to be able to sell it and not have a huge price, we will need a healthy discount to your retail price. Keep in mind we will have to add shipping costs (to us and to customers), import duties and customs tax. So, in order to make it it profitable, we usually take the acquisition costs (purchase price, plus shipping, plus taxes) and multiply by 4 to get the retail price.
Minimum order size. I know we would need to make a minimum order to make it of interest to you. But I would like to keep our first order small to see what is selling. What is the minimum order size we can start with?
By the way, my product is branded Shrinkins. It is on the product, so that part is out for him. I ultimatley would like to license this to a manufacturer, so I don't want to get into a contract with Europe that will hinder my chances of catching a manufacturer here in the USA... I just dont know how all this is done. Thanks, Tracie
No problem I can give you more information. My last ad runs till late sunday night. Why dont you get in touch with me on Monday afternoon at my regular email address and I can get you what you need. I think I can learn from you too! I didn't know .04% was low...well of course I wished for higher!!
Email me monday afternoon at firstname.lastname@example.org
I am now trying another ad on facebook to compare the first one with.
My first one was CPM max bid $.31 at $40 max per day. I did it 4 days. My CTR was .04% as well. I had 256 clicks on my site and sold 6 kits. ($120 sold value)
My second has just started I am running it for the same 4 days. This one has a different message and picture. I did this one a CPC max bid $.60 at $40 max per day.
This is only the first day of the ad but the CTR is .04% so far. I have had 42 clicks on my site so far today and no orders yet.
Has anyone else had any luck?
last weekend I did my veru first peice of paid for advertising. i tried facebook for 4 days straight. I did the impression ads, for a targeted area. I spent $40 a day for 4 days $160.00 spent. I got almost 800 views and sold $120.00 worth of retail.
I am considering doing 30.00 a day for 7 days and see how that goes, to see what days are better etc.
So, is this good?? I know I spent more than I earned...but I wondered if that is good for doing a branding ad and it being my first?
Typically, What do you expect from ads? I am clueless really. Any other advertising options/ideas you can think of for my product would be a great help.
Visit my site
Thank you Tracie