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Offering shops/stores a way to sell your products without intial outlay is a nice way to get exposure for your products, as well as networking.

Consignment often limits profit margins. For examply using the 30% average .. that means that a retailer has to sacrifice shelf space to only take 30% profit on the items sold. It will appeal to some people & suit some products for various reasons .. Including, that you might replentish stock & manage your own products, wear costs of breakages, theft etc …

Many store owners would like to get closer to the 100% profit margin or above (depending on type of products, turn around & cost).

So by letting a store owner sell your products without having to pay for the product outright lets them not wear the stock cost, yet they can still obtain desireable profit margins when goods sell.
And then, once you prove that your products are good & that they will sell … the store owner will want to stock your products.

That is when you can offer discounts for paying for products upfront or offer contract terms & conditions etc …

It is very hard to approach shops & get them interested in an untest, unproven product, especially a no name brand or smaller, unknown company.

The ideas I have put forward help negate those initial hurddles.
If you have a good desireable product it will work well … If you don’t sell a single product in the trial, then obviously it is not a good tactic & could have a negative impact.

Generally consignment appeals to shops, cafes, gallaries etc .. who want extended range or to value add space where they are not worried about how long products sit on shelves or on the wall. Or suited to places without limited space.

Though having said all this .. there are a multitude of variations you could employ that would sit between the two clear definitions of consignment or wholesale sales for your product/s.