Taking the Leap | 01

Is your business ready for wholesale? Are you prepared to take the leap?

If you have been designing for a while or even if you just started, you have imagined the type of shop you would be proud to have your collection in. This shop would encapsulate your brand and elevate your product through its placement. Before you can get your product line in that ideal shop you need to make sure you are ready to take that leap.

Managing retail and wholesale businesses can be time-consuming. It will be your full-time job, so make sure you are ready!

First impressions mean everything, be mindful of this as you work to become Wholesale Ready. if you have zero experience in selling your product either through consignment or at retail art and craft shows, we strongly urge you to spend a few months doing so. You will gain invaluable experience understanding how the public responds to your product and the time and effort involved in selling, which you will use as you venture into wholesale.

What is wholesale and how does it differ from consignment?

Selling wholesale means a brick-and-mortar retail shop purchases items from you in bulk at a discounted price. Once the shop purchases those items, they own them, and it becomes its responsibility to sell them. Should those items not sell, the retail shop keeps them. With consignment the shop allows you to place your items in their shop and should any of those items sell the shop will keep a portion of the sale and you will receive the balance.

With wholesale, a shop will only want to purchase products that will appeal to their target market and that fit well inside their shop. They will look for items that are different than what other shops in the area carry. It is not an easy task for a shop owner or buyer to decide what to purchase. If you have done your research and you are confident your product will work in their shop - tell them! But remember do not take it personally when you hear no thank you or receive no response at all. It could mean it is not the right time, it could mean they are not able to purchase right now, and it could mean they have been busy and simply forgot to respond. Do not be intimidated by the amount of preparation it takes to become ‘wholesale ready’. You can do it! Some online businesses offer assistance in helping you create your buyer’s packet at pricing from $650 to over $2000. With some preparation and a little hard work, you can create a buyer’s packet that will get you in the door.

How much will it cost me? 

Have a solid understanding of how much it costs to make each of your products. Be strategic with your pricing. Pricing your items for wholesale should be thought out carefully.  All products cost money- materials, labor, shipping, etc. Research and know how much each product is going to cost you before you delve into pricing. Know your profit margin. Keep in mind sourcing materials wholesale is vital to your bottom line. 

Many buyers tell us that pricing is one of the biggest topics they wished artists knew more about.    If your retailers can make a profit selling your product, they will continue to come back and place larger orders. IF YOU ARE EAGER TO GROW YOUR BUSINESS THROUGH WHOLESALE, attention to pricing is essential. Pricing is so important we have a separate module just for Pricing. Learn more about pricing in Module 4: Pricing, Profits & Payment

Your products

Be confident in your products and remember that buyers need variety to sell in their shops. Something that works in one boutique may not sell in another. They are all different due to demographics and size. A customer loves your vase but because of the colors of her home she needs it in green, but you only make it in blue. This dramatically reduces purchases. Carry a specific design in a variety of colors, it guarantees your work will appeal to a wide range of customers. 

“Artists need to consider the demographics vary from coast to coast and even from city to city. Offering a full range of products in several colors and patterns allows the buyer to choose what will work best for their clientele. Not offering multiple choices can limit the number of orders an artist will receive.”  Sarah – retail buyer from Columbus, Ohio

Not all products are fit for wholesale. Make sure you have several products that you are confident you can make multiples of. Remember a retailer may order 10 of one item and 5 of another. You need to figure out how many products you are physically able to make and sell, and then factor that into your pricing. Don’t worry we will get into everything pricing in Module #4 so right now let’s focus on getting you and your product line Wholesale Ready!