Happy Tuesday retail-minded friends! Hopefully you are back in the swing of things after the holiday weekend. Today we are going to discuss some of the most common, yet detrimental, mistakes that are made by entrepreneurs and inventors hoping to becoming retail vendors. These mistakes can cause a serious road block in getting on the right track towards success.
Mistakes are natural and to be expected. However, what helps you stand out from the crowd is the ability to be resilient and come back from these mistakes to make your product or your service better. It is easy to give up after a meeting with a retailer who has turned you down because you have committed too many of these mistakes which we are going to discuss shortly. Addressing these issues and actively making a change will increase the likelihood of success in your next attempt. The key is not giving up and being patient!
So let’s discuss some of these potential mistakes, and how to possibly remedy or avoid them all together.
1. Overproducing before you have a deal.
Sometimes, overexcitement gets the best of us and we act as if we have already landed the deal with a retailer. Instead of producing hundreds of prototypes of your product, make sure that you have the means to produce a large sum of your product, but definitely do not produce them until you have struck your deal with a retail buyer. This way, you do not waste the money on production until you are guaranteed a place to sell your product. If you do not land a deal, it can result in serious financial limitations.
*This does not mean that you shouldn’t show up with samples at the meeting though.
2. Saving money by completing 100% tasks in-house.
Understandably, if you are a potential retail vendor, you have not secured a deal with a retailer just yet. This can crank up the stress when you look at finances which, in turn, can cause you to complete all tasks related to your product yourself. However, this can often times backfire. Various tasks can be completed without external help. Tasks such as package design, contracts, and quality should be assessed and completed by professionals with experience. Their expertise will pay off for you in the long run.
3. Not educating yourself on every aspect of your product.
Though you may not have completed a certain dimension of your product, is it imperative that you are familiar with each and every one, and that you are competent in explaining each dimension. In the meeting with a retail buyer, you will be expected to explain each aspect and answer any further questions they may pose. Take your time and exert the effort to actually understand how your product functions.
4. Avoiding market research.
You may think you have a great product, but how can you be sure that other people agree and will be inspired to buy it? This is where market research comes in. Your first question should be: Do I have a target market sizable enough to make a profit? This can help inform you on whether or not there is a need for your product. It can also inspire and inform you on what to alter about your product to appeal to a larger audience.
5. Leaving out the marketing plan.
Marketing may not be your area of expertise, but it is necessary for every product. As we mentioned in a blog a couple weeks ago, what is a product without the right marketing strategy? Marketing is how you are going to get your product sold, and therefore, a completed marketing plan is necessary. You can outsource this task, or you can complete it yourself. However, without it, you will face serious challenges in a meeting with a retail buyer.
Hopefully, by addressing some of these issues before the meeting, you can avoid any potential push back by a retail buyer.
These are just a few of the mistakes frequently made by entrepreneurs and inventors, so be sure to do your research on what retail buyers expect from potential clients.
We hope this blog post was helpful in helping you on your journey to selling to retail.
Be sure to sign up for our monthly newsletter here: Newsletter Sign-Up
Follow us on twitter: Retailbound Twitter
Like us on Facebook: Retailbound Facebook
