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MEET DISTRIBUTORS AND RETAILERS
What are the best ways to meet distributors and retailers?
At trade shows.

Are there other ways to meet retailers?
Yes! Go in person to retail stores, and ask to speak to a manager. If you can offer your goods on a consignment basis, they may become very eager to talk with you. Many success stories happen exactly this way!

What is a consignment basis?
That is where you supply goods to be sold, and the retailer pays only when the goods are sold. You know the goods are sold then you go to claim the unsold goods; anything they do not return to you is considered “sold” and you are owed a commission.

What kind of percentage should I be getting of the retail selling price?
That depends very much on whether it is a retailer or distributor you are selling to. The best prices are from retailers. And, the best deal is for consignment sales, where the stores have no risk at all, so they are willing to pay the greatest percentage. In one instance we have seen, a major nationwide retailer likes to start the sales of consignment goods at 25% of the selling price, and increases that percentage steadily on each reorder up to a maximum of 75%. For distributors, you may be lucky to get 10% of the selling price, depending on your negotiation skills. Some pay more. For retailers who must pay for their orders, whether the product sells or not, a fair amount may be 25% of the retail price and on up to 45% in some cases.
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