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  • #999912
    au_explorer
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    I am in the process of setting up a business…

    – I have a supplier of some quality low-cost items from Thailand
    – These come in a min order of 50 boxes, 2 CUM, 650kg
    – My supplier sends on a CIF basis, Bangkok to Sydney

    I have a quote from a local freight forwarder/customs agent.

    I want to approach a large retailer about stocking my product

    I am wanting to talk to someone about
    – the pricing of my product in a proposal to the retailer
    – what I should be looking for… tips and traps for the young player

    Casual opinions welcome… and I am happy to pay for the advice of a knowledgeable professional.

    Leave a message if you want to talk more.

    #1221835
    MH08
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    Cross match pricing with a similar product currently in the market and find three of them and touch the average.

    #1221836
    bb1
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    MH08, post: 268136, member: 37395 wrote:
    Cross match pricing with a similar product currently in the market and find three of them and touch the average.

    Yes a good plan, BUT, me and my buts, only if that average price gives [USER=111231]@au_explorer[/USER] a profit. That approach only works if they are on a similar input cost basis, but if their buying cost is higher, shipping is higher, it doesnt work. They need to first work out what there cost base for each individual item is, then start considering a sale price.

    #1221837
    MH08
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    Absolutely, it’s more of a yardstick approach. Sometimes new business owners may even price themselves out of the market after costs and evaluate their plan.

    #1221838
    Jason Ramage
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    Howdy

    Just a casual side input, hope this is ok, although i am curious on what you define as a large retailer? And are you going to approach these retailers yourself?

    Also, what position would you be in if a large retailer took on your product and outsold or outstripped your inventory and you could not replenish within their timeframes? i know it doesnt sound like a problem, although it could tarnish your reputation very quickly depending on who you are referring to as a large retailer… and also market segment.

    Have you considered selling to retailers to build brand awareness, gauge product interest and so forth first?

    Sounds interesting though.. lots to keep you occupied over the break by the sounds of it..

    Cheers

    Jason Ramage | Lucas Arthur Pty Ltd | E: hello@lucasarthur.net.au   P: 61 3 8324 0344    M: 61 412 244 888
    #1221839
    au_explorer
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    LucasArthur, post: 268170, member: 34537 wrote:
    Howdy

    Just a casual side input, hope this is ok, although i am curious on what you define as a large retailer? And are you going to approach these retailers yourself?

    Also, what position would you be in if a large retailer took on your product and outsold or outstripped your inventory and you could not replenish within their timeframes? i know it doesnt sound like a problem, although it could tarnish your reputation very quickly depending on who you are referring to as a large retailer… and also market segment.

    Have you considered selling to retailers to build brand awareness, gauge product interest and so forth first?

    Sounds interesting though.. lots to keep you occupied over the break by the sounds of it..

    Cheers

    My supplier has been in business for 15 years and supplies large firms in Europe. The product sells well. I am not worried about supply.

    Yes, I am going to approach a large retailer(s) myself.

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