jd1977
19th September 2005, 20:05
I have run an online clothing company for 3 years now, selling around 7 major fashion labels, 5 via a supplier and 2 through my own wholesale stock. I cannot name the names due to the delicate nature the business is currently in.
A mentor who I use from the princes trust suggested that I apply directly to the 1 brand because they are 80% of the sales, so I would benefit more by processing orders directly, this major brand in fashion sent me applications forms but also contacted my existing supplier (who are authorised retailers) and told them if they deal with me again even on commission basis they will have their account stopped. An example would be Tesco supplying a website with cocacola, and cocacola saying if you continue to do this we will stop trading with you Tesco.
The fashion items were sold at a high street price and were not discounted at all, so my business hasnt done anything personally wrong and the major brand in question has let me apply for an account with them, as I have been honest and open with them, although I have not received the Yes or No yet.
The problem I have is that unless they say yes to trade directly with me, I will lost 80% of my business over night, £300-£500 a day net sales , gone , dead, wiped out forever.
There would be reasons for and against for the Major brand not to stock me, for being that I have built up 3 years of customers and have an affiliate feed of 200+ and wide presence on the web and fashion magazines, wh smith publications etc. and against being I am only an online presence, what worries me is that even though they have let me apply the Major brand have only been known to stock high street shops and fiercly (and I mean major fiercly) protect their identity/brand.
I feel what I have done in applying directly has risked £10 for £100 profits or £10 for nothing at all and possible business closure.
I feel I have taken a big risk and I am at the mercy of this 1 major brand saying 'yes' or 'no' I do stock other names, but they only make up a small percentage of the business online with the Major brand being the driving force of sales.
Via suppliers in the past who I passed my orders onto and they processed and let me have commission, I have built up a turnover of around £half a million in sales, and know if the Major brand say yes I wlil be able to process orders directly myself and go from not much to good money over night, I may also go from that to nothing if they say no, and possible business closure.
They have received my application for an account, do I let them get on with it checking my details, reference, do I mention to them I'm throwing sales away by not having their stock to sell. I just dont know what to do
I'm having sleepless nights, I've worked hard with my site over 3 years, and have had 8 years experience in online retail. (which i briefly mentioned in my cover letter to them)
It just feels such a waste if they do say no, and if I will ever find a wholesaler that stocks their product (very rare because of strict brand control they dont wholesale hardly at all)
jd1977
A mentor who I use from the princes trust suggested that I apply directly to the 1 brand because they are 80% of the sales, so I would benefit more by processing orders directly, this major brand in fashion sent me applications forms but also contacted my existing supplier (who are authorised retailers) and told them if they deal with me again even on commission basis they will have their account stopped. An example would be Tesco supplying a website with cocacola, and cocacola saying if you continue to do this we will stop trading with you Tesco.
The fashion items were sold at a high street price and were not discounted at all, so my business hasnt done anything personally wrong and the major brand in question has let me apply for an account with them, as I have been honest and open with them, although I have not received the Yes or No yet.
The problem I have is that unless they say yes to trade directly with me, I will lost 80% of my business over night, £300-£500 a day net sales , gone , dead, wiped out forever.
There would be reasons for and against for the Major brand not to stock me, for being that I have built up 3 years of customers and have an affiliate feed of 200+ and wide presence on the web and fashion magazines, wh smith publications etc. and against being I am only an online presence, what worries me is that even though they have let me apply the Major brand have only been known to stock high street shops and fiercly (and I mean major fiercly) protect their identity/brand.
I feel what I have done in applying directly has risked £10 for £100 profits or £10 for nothing at all and possible business closure.
I feel I have taken a big risk and I am at the mercy of this 1 major brand saying 'yes' or 'no' I do stock other names, but they only make up a small percentage of the business online with the Major brand being the driving force of sales.
Via suppliers in the past who I passed my orders onto and they processed and let me have commission, I have built up a turnover of around £half a million in sales, and know if the Major brand say yes I wlil be able to process orders directly myself and go from not much to good money over night, I may also go from that to nothing if they say no, and possible business closure.
They have received my application for an account, do I let them get on with it checking my details, reference, do I mention to them I'm throwing sales away by not having their stock to sell. I just dont know what to do
I'm having sleepless nights, I've worked hard with my site over 3 years, and have had 8 years experience in online retail. (which i briefly mentioned in my cover letter to them)
It just feels such a waste if they do say no, and if I will ever find a wholesaler that stocks their product (very rare because of strict brand control they dont wholesale hardly at all)
jd1977