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shutterspeed
Arkansas State Fan
MS Gulf Coast
Member since May 2007
44823 posts

Advice For Approaching Retailers About Counter Space For Selling a Product?
I'm interested in selling proprietary dvds to select local retailers. I'm thinking I have 3 options with them:

1. I purchase the stock and provide the outlet with 23% net sales. ($29.12/10 or $2.91/1 dvd on my end, retailer makes $3 per dvd at $12.99 MSRP)

2. I sell the stock to the outlet at a fixed price ($100/10 dvds), which nets me $70.88/10 dvds or $7.09/dvd), and they recoup 100% of sales.

3. I rent counter space from an outlet, and I recoup 100% of sales.

Am I in the ballpark here?
This post was edited on 12/6 at 6:35 pm


lnomm34
USA Fan
Louisiana
Member since Oct 2009
10312 posts

re: Advice For Approaching Retailers About Counter Space For Selling a Product?


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Mingo Was His NameO
LSU Fan
318
Member since Mar 2016
5238 posts

re: Advice For Approaching Retailers About Counter Space For Selling a Product?
Do you know the retailer will sell it? Even in home workouts are now downloaded straight onto a PC. I honestly can't think of one industry that still ises DVDs to get their content out except films, which I am assuming this is not.


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StealthCalais11
LSU Fan
Lurker since 2007
Member since Aug 2011
9436 posts

re: Advice For Approaching Retailers About Counter Space For Selling a Product?
The kind of DVD's would be a large determining factor on whether or not your idea is feasible.
This post was edited on 12/6 at 8:03 pm


shutterspeed
Arkansas State Fan
MS Gulf Coast
Member since May 2007
44823 posts

re: Advice For Approaching Retailers About Counter Space For Selling a Product?
It's a locally produced feature film that has a niche (weddings/pageants). I've had $3.5k in sales in 8 months, mostly at the $3.99/$4.99 rental range through Amazon streaming.

I think the dvds would appeal to people locally as an impulse buy in wedding shops and the link. I don't see why a retailer wouldn't take it on--especially without having to shell out anything up front. I just want to make sure what I'm offering is reasonable before approaching.
This post was edited on 12/6 at 9:43 pm


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LSUtigerME
LSU Fan
Walker, LA
Member since Oct 2012
1855 posts

re: Advice For Approaching Retailers About Counter Space For Selling a Product?
quote:

1. I purchase the stock and provide the outlet with 23% net sales. ($29.12/10 or $2.91/1 dvd on my end, retailer makes $3 per dvd at $12.99 MSRP)

2. I sell the stock to the outlet at a fixed price ($100/10 dvds), which nets me $70.88/10 dvds or $7.09/dvd), and they recoup 100% of Sales

3. I rent counter space from an outlet, and I recoup 100% of sales.

My wife has sold products through a few boutiques. Once with an arrangement more like #2, however she was responsible for remaining inventory. So rather than selling them a lot of product, she effectively sold them only what they could sell. 70% is high for the store, if they are truly selling them at your suggested price. This #2 arrangement depends on the store being able to discount the product to move it.

All her other arrangements have been a combo of #1/#3. She effectively pays a fee to be in the store, and they take a cut of the sales, generally 10%. All sales and fees are handled through the stores system.


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