How to get into High Streets?

[apricot]

Hi,
We mainly sell online but I have couple of products that I want to introduce to some high street brands - like John Lewis, M & S
I was wondering if anyone knows where to start?
Also, I am not sure if I would be eligible to work with them as we are a small company - what sort of company should I be to work with high street brands? At least I can start getting myself ready for it.

 

[Mark T Jones]

Before considering if they will work with you, ask yourself if you really want to work with them, hearing in mind you will be entering into onerous contracts that will encompass:

- quality control
- specific stocking levels
- delivery/distribution
- marketing
- payment terms

Others know more than me on the first 4 - where payment terms are concerned you are likely to be looking at 90 days from the end of the month of delivery, less deductions.

 

[fisicx]

Why would they want to sell your products? And if they do can you supply the thousands needed and take them back if they don’t sell?

 

[WaveJumper]

Give the buying departments a call (they will have someone who deals in your product type) they don't bite, and see what their criteria is to consider you as a supplier many have these details on their websites now so worth a check there.

However as mentioned above be prepared for some very serious negotiations if you manage to get your foot in the door, and you may well find the margins are so tight you are better off sticking to your own online sales

Never hurts to test the water though, best of luck.

 

[apricot]

Before considering if they will work with you, ask yourself if you really want to work with them, hearing in mind you will be entering into onerous contracts that will encompass:

- quality control
- specific stocking levels
- delivery/distribution
- marketing
- payment terms

Others know more than me on the first 4 - where payment terms are concerned you are likely to be looking at 90 days from the end of the month of delivery, less deductions.

Do you mean I produce the products and store them before they start selling? And if they sell, It'll take me 90days to get the payment?

I can deliver it to them but am I responsible for delivery to customers?

They should guarantee some sort of min sales I guess before working with them? Do they have such an offer?
You are right, maybe I should decide whether I want to work with them or not

 

[apricot]

Why would they want to sell your products? And if they do can you supply the thousands needed and take them back if they don’t sell?

They would want it because there is a demand and it is not in the market.
Yes, I can produce up to 100k stock even more
I think I am covered from this side... but reading the comments I need to decide whether I'd like to be part of it or not

 

[apricot]

Give the buying departments a call (they will have someone who deals in your product type) they don't bite, and see what their criteria is to consider you as a supplier many have these details on their websites now so worth a check there.

However as mentioned above be prepared for some very serious negotiations if you manage to get your foot in the door, and you may well find the margins are so tight you are better off sticking to your own online sales

Never hurts to test the water though, best of luck.

I tried to contact to buying departments but it is dead end.. No one explains anything
Thank you

 

[Mark T Jones]

They would want it because there is a demand and it is not in the market.
Yes, I can produce up to 100k stock even more
I think I am covered from this side... but reading the comments I need to decide whether I'd like to be part of it or not

You would have to prove and support demand- past sales, market research and marketing.

 

[Mark T Jones]

Do you mean I produce the products and store them before they start selling? And if they sell, It'll take me 90days to get the payment?

I can deliver it to them but am I responsible for delivery to customers?

They should guarantee some sort of min sales I guess before working with them? Do they have such an offer?
You are right, maybe I should decide whether I want to work with them or not

If they go for it properly, they will want x amount delivered to y depot on a specific date. They may start small with a limited number of shops.

They won't guarantee sales - your job is to demonstrate to them that sales will happen (you can pay them for locations to optimise sales)

Some chains work on 30 days, some 90, a couple as much as 120.

That's from the end of the month of delivery, and as long as you have fully complied with their processes

 

[fisicx]

They would want it because there is a demand and it is not in the market.
Yes, I can produce up to 100k stock even more

Are you saying you sell huge numbers via your website? Are there lots of people looking for this product? Could anyone make this product?

 

[AlanJ1]

Give the buying departments a call (they will have someone who deals in your product type) they don't bite, and see what their criteria is to consider you as a supplier many have these details on their websites now so worth a check there

If only it was this easy. Unless you have the next "best" thing, supplying retail is really really difficult.

But I would be phoning, sending emails, linkedin messages, sending samples, looking at supplying existing distributors etc.

OP, no retailer will guarentee you sales, they would actually do the opposite if it doesn't sell you will be taking it back.

 

[apricot]

Are you saying you sell huge numbers via your website? Are there lots of people looking for this product? Could anyone make this product?

Yes to all

 

[apricot]

If only it was this easy. Unless you have the next "best" thing, supplying retail is really really difficult.

But I would be phoning, sending emails, linkedin messages, sending samples, looking at supplying existing distributors etc.

OP, no retailer will guarentee you sales, they would actually do the opposite if it doesn't sell you will be taking it back.

Hmm.. Thank you!
That gives a lot of guidance. I would rather pass for now than put my effort into it, for the return is not as clear as online.

 

[fisicx]

Yes to all

Which means the high street doesn’t need you. They can get the products from their own suppliers.

 

[zomex]

Which means the high street doesn’t need you. They can get the products from their own suppliers.

Just because anyone could create their product doesn't mean high street shops existing suppliers would create it. The OP could become their supplier for this particular product. You make it sound like these stores have 1 supplier who can create any product.

My take on this would be why bother. Yes there's money to be made but the high street is dying. It will completely destroy your margins, you will loose control, it will be a constant fight to stay on the shelves. If your product sells well high streets will at that point potentially create their own version.

Expand your online business or look to create new products that you can market to your existing clients.

 

[Paul Kelly ICHYB]

Can you afford to sell it to retailers?

Remember, retailers may want between 30-50/60% MARGIN on hard products. Fashion and food can be a lot more. So, if you look at your current selling price, take off VAT and their margin, do you still make a profit?

Can you afford to take a bigger % of returns back?

Can you afford not being paid for 30-120 days?

 

[ethical PR]

Hi,
We mainly sell online but I have couple of products that I want to introduce to some high street brands - like John Lewis, M & S
I was wondering if anyone knows where to start?
Also, I am not sure if I would be eligible to work with them as we are a small company - what sort of company should I be to work with high street brands? At least I can start getting myself ready for it.

have you done your market research on what production and other conditions you need to meet for your product ? Do you have a business plan in place demonstrating how you can scale up quickly .

Have you done market research around likely demand and interest from their customer base, have you differentiated your product from your competitors and how you align with their brand?

 

[apricot]

Which means the high street doesn’t need you. They can get the products from their own suppliers.

Of course they can! But no one will do until I achieve

 

[apricot]

Thank you everyone, I appreciate your help. Your guidance was a huge help.