HI Jules,

I agree with you-When it comes to "point of purchase" merchandising, that should really be a part of your marketing budget. 

I have found that by offering free display units (with a minimum purchase to fill the display" to be a great way to upgrasde my existing customers.   

My rule of thumb is to set aside 3% of gross sales for merchandising.Also this budget allows me to splurge on extras for them, like brochures, t-shirts for their sales staff with Foot Petals logos, etc. Anything to get the brand out there!

RE: distribution...

Have you considered outside sales reps? When I say outside sales reps, I am referring to strategically aligning yourself with regional showrooms or "multi vendor reps" that specialize in products that would be sold to the same retailers.  

For instance, Foot Petals is a shoe product, so a shoe rep would be a natural fit. Foot Petals can also be a bridal product, so a bridal rep can also open many doors.

This is a fantastic way for small businesses to keep overhead low and reach several markets at once.  You can find great reps in all of the meropolitan cities; Florida, Los Angeles, Chicago, and Atlanta at the Apparel Marts. 

But, be careful; It is important not to lock yourself in to any long term agreement and pay commission only.  As your company grows, you will most likely want to bring a full time rep in-house.  

Excellent question!

Every rep is going to want the "whole world" as their territory- but it's our job to set realistic,acheivable goals. 

You want to create a partnership that allows a rep to succeed & allows you to grow. Start with one rep and give them a reasonable territory with target accounts you want them to go after.

For instance, I am located in L.A.-it would be in my best interest to get someone in New York. Consider time zones, greatest areas of population, etc.    

VERY IMPORTANT: Remember to set a maximum amount of commission you will pay per account. Think about  what might happen if they land that "big chain". It costs a lot to grow.  You won't be happy if your sales rep is making more money than you are in a year! With agreed limits set beforehand you can create great partnerships.

p.s. I meant to say Chris ..when I was talking about the display unit earlier.

I hope this info is helping!

Thanks for the maximum commission warning. That is very helpful. I am starting to think that having a rep might be good for me, because I get nervous talking to retailers about my products. I'm great through email, but I practically have a panic attack before having to make a phone call or have a face-to-face meeting. It's very weird to learn this about myself, because I was a Realtor for a few years and never had any people issues before. I'm actually an outgoing person! I guess it's because selling someone else's house and selling my products are different. I have really high expectations of myself and my products, and I have to believe in what I'm selling. I do believe in my products, but I always feel stupid saying "I make dip mixes and frosted nuts". They really go beyond that (the funny names, the whimsical artwork, the flavors) but I guess I haven't figured out how to say what I need to say without thinking I sound like a moron. (Maybe I need an elevator pitch for retailers.)

Sorry to go off on a tangent, but I guess what I'm saying is maybe a rep would be good for me. That way I can not worry so much about the schmoozing the stores, and do what I really love - product development, graphic design and marketing behind closed doors.