Selling to Retailers

Retailers come in all shapes and sizes from the specialty boutique with those hard to find unique items to nationwide mass retailers who will sell a thousand units of the same product in a day. Knowing how to talk to each, and do so effectively, will greatly impact the results of the pitch. The keys to a successful pitch include: having a realistic and clear understanding of what you have to offer, demonstrating a respect and insight into the retailers needs, and finally having the business acumen to make your case illustrating the benefits you bring to the table.

Retailers are sure to be impressed with an approach that takes these points into consideration. Remember when asking a retailer (large or small) to invest limited resources and precious store real estate in a product, they will want some assurances that the purchase will be a profitable one.

Know Thyself

Having a strong understanding of how your products are perceived in the market place will greatly help your successes when approaching retailers. It’s not uncommon to find smaller children’s manufacturers being managed by the product creator, along with close friends and family. This creates a situation where everyone involved has a strong emotional attachment to the product, potentially clouding opinions of the position the product holds in the market place.

To truly know how products are perceived, ask for feedback from your target consumers (people who you don’t personally know), target retailers and sales reps. This group will give you an objective view of your product, its value and strengths, as well as let you know where they would expect to find such a product. Armed with this knowledge, you can filter out the types of retailers you want to pitch to and likely find greater success.

Consider Your Audience

When approaching a retailer, be it a boutique owner or a buyer for a large chain, be mindful of who they are and what they may want. What motivates them? What needs to they have? How will your brand and/or products add to their overall product portfolio? The needs vary greatly dependent upon the type of store. However, small or large, every retailer has a common objective; each would like to be successful.

Do your homework before calling on a retailer. Assuming you’ve identified a retailer that is compatible with your products and brand positioning, look at what they currently carry. Are you proposing to add something new and different to their offering or will you be competing with existing inventory? Don’t be discouraged if they already carry a similar product line, just be prepared to demonstrate why your products are worthy of consideration and possible replacement of the existing line.

Never forget the objective of a retailer is to be successful and turn a profit. Some will see this success materializing through a broad and unique product offering that will attract a discerning, yet influential clientele, while others will be primarily concerned with the revenue to be generated. Therefore, make your case in the context that will make the most sense to your audience.

Now That You Have Their Attention…

No one knows a product better than its manufacturer. No one has more admiration for a product than its manufacturer. Buyers and boutique owners will not have this same predisposition (at first). To gain their favor you need to be introduced, get acquainted and build a relationship; one based upon mutual benefit. Introductions could be facilitated through direct mail, tradeshows, advertisements, or other forms of communication such as the telephone.

Once you have their attention, it’s time to demonstrate a profound knowledge of their business and how your product will enhance it. Why would their customers want to buy your product? How will you be driving traffic into their store? What do you bring to the table that they don’t already have? After you succeed in your efforts and they choose to carry your products, do your level best to ensure that your product sells, so that reorders will follow.

Once you get the initial order it’s imperative that you follow through with the selling process throughout your entire relationship with a retailer. Customer service will be key. Delivering orders on time and in full, returning phone calls and keeping lines of communication open are some basic ways of providing excellent service.

Some other suggestions are inviting your retailers (those who are in constant contact with your consumers) to offer feedback on preliminary ideas in the product development process. Keep them abreast of any advertisements, promotions and other efforts that they may want to know about so that they may adjust inventory accordingly. Provide educational pieces and merchandising tools to help them sell your product. Show them you are a team working together so that everyone benefits. Remember, your retailers are the conduit that facilitates your success; make sure you take good care of them.

Creating a Win-Win

You can be successful selling to retailers. Manufacturers can realize the distribution levels they desire, provided it is clearly understood where the products make the most sense, how the products will enhance a retailers overall portfolio and knowing how to communicate a business case in a manner that will resonate with the retailer. Once a buying decision has been made, outstanding customer service and a genuine desire to help the retailer be successful will improve the prospects for reorders and foster a long and prosperous relationship for everyone.

About Insights Discovered
Penny Redlin of Insights Discovered is a guest expert on The Giggle Guide™. She is a regular contributor to the “Business Sense” feature, sharing insights about business planning and marketing strategies. To read more articles by Penny Redlin, see http://thegiggleguide.com/biz/features/business-sense

Based in Las Vegas, Nevada, Insights Discovered was founded by Penny Redlin in an effort to share her professional expertise within the children’s product category. The company’s mission is to give every mompreneur an opportunity for success. Insights Discovered exclusively services children’s products brands. The specific industry focus demonstrates a strong dedication to the unique needs of children’s products companies. Insights Discovered offers strategic planning, market research and traditional marketing services.

For more information, visit www.insightsdiscovered.com or call 702.218.5707