This guide aims to offer insight into selling your designs and products

to a retailer. It explains;

The benefits of selling through a retailer

Understanding the role of the buyer

Differences between types of retailers

For further information on this topic, read How to Approach a

Retailer.

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Support from buyers and retailers can be very important in order to

establish your brand and credibility. Although the profit margins are

lower, wholesaling your product can provide many useful benefits

including:

The benefits of selling through a retailer

• Wider geographical reach - it is possible to have your product in a

larger number of outlets giving access to a wider customer base.

• Credibililty - the consumer is likely to trust your brand more if they

see it displayed in a retailer/store that they already trust.

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• Although the profit margin is low, the sales volume acquired

through a retailer is much greater.

• Prestige - an association with illustrious outlets can create prestige

for your brand and elevate its status in the eyes of the consumer.

• Marketing and PR provides a wider reach to your ideal market and

can drive additional traffic to your website.

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The buyer has many key responsibilities. Generally these tend to be

profit driven and many buyers are under extreme pressure to

produce profits for owners / share holders. It is helpful to understand

what their priorities are when preparing for an appointment. These

include:

Understanding the role of the buyer

• ensuring that stock bought sells well and achieves the

company’s sales targets

• market analysis - understanding the market place that they

operate in and identify changes in consumer habits

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• trend analysis – predicting future style and fashion trends

relevant to their market

• planning merchandise and space – knowing when the stock will

arrive and how to present it in store

• budget control – managing stock budgets, buying enough of the

right stock to meet sales targets

• developing product ranges – identifying new products which will

inject freshness into their ranges and maintain continuity with

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• Very often the buyer of an independent retailer is the owner and

is able to make quick decisions regarding purchases and

stocking new products.

• They tend to buy intuitively according to their own taste and

customer base.

• They often know their customers personally and maintain a

close relationship with them.

Independent retailers

Differences between types of retailers

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• They have the flexibility to try out new product lines.

• They order in small quantities and will not necessarily comply

with supplier’s minimum order quantities.

• They may request exclusivity within a local area.

Independent retailers continued

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Chain store retailers

• The process for placing an order can be slow as buyers need

approval from various levels of management.

• The buyer may need to raise a purchase order which can take

time before the order can be confirmed.

• They may require their own presentation / labelling.

• They tend to buy a range of products, (sometimes called

‘stories’), rather than single designs.

• They may request exclusivity in a design, colour way, print or

finish, so be prepared to negotiate on price.

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• The orders tend to be larger so it is important to negotiate a

realistic delivery time when the order is placed .

• Deliveries may need to be scheduled i.e. you may be required to

make a scheduled delivery appointment at a centralised

warehouse .

• The buying process may be dictated by company guidelines.

• The buyers may be required to negotiate a higher retail mark up

to comply with an overall company strategy.

Chain store retailers continued

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For further information on this subject, please refer to the

following resources:

Costing & Pricing Work

How to Approach a Retailer

Preparing to Attend Trade Events

Planning to Sell at Trade Events

How do I protect my ideas / business / product?

Next steps

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Disclaimer: Cultural Enterprise Office is not responsible for any advice or information provided by any external

organisation referenced in this document.