When entrepreneurs are just getting their bearings, a vast portion of their sales come from customers who frequent the store. Every small business needs to start somewhere, and transactions conducted within a store help owners build their enterprise into a business.
But you didn’t enter entrepreneurship to legitimize your business and rest on your laurels to maintain a middling operation.
You’re here for the money.
And there’s far more attainable sums of money afforded to small-business owners outside of the brick-and-mortar shop itself, or even an online site. The next best step entrepreneurs can take to launch themselves into the profits stratosphere is to market and sell their products or services to outside vendors.
Word of mouth circulated by regular customers isn’t enough to get you to where you want to be. You need exposure or you’ll fade away into the background. Follow Income.com‘s three-point plan of action to selling and marketing to vendors and watch the tide of new money roll in. You’ll need to get in contact with vendors, sell them on what you’re offering and hammer out a business plan that keeps vendors happy while expanding your operations.
1. Approach vendors on your own initiative
Getting a third-party source to show and sell your products is a big step up for many entrepreneurs. But outside retailers and vendors won’t be looking for you: you’ve got to bring the fight to them. They’ll only know you exist if you work to grab their attention and prove to them how a partnership can benefit both parties.
It’s not hard to do, and entrepreneurs shouldn’t be nervous about approaching vendors. If you don’t take the chance, someone else will.
It can be as easy as submitting an application for consideration. Major brands like Home Depot, Sears and QVC allow for entrepreneurs to get in contact via online applications. Is five minutes out of your day worth more than a bigger and better business in the future? Not a chance. Besides, many of the major brands will evaluate a product for no charge. The only risk you carry is in not taking action.
2. Show them how your product is better than an existing one
Vendors are often solicited with a number of requests like your own. So it’s up to you to separate yourself from the rest of the pack and distinguish your product as clearly superior to any other option that’s in your field and currently offered by the vendor.
If you sell dog food, show vendors how pet owners would be better suited to buy your brand because the competitor’s product has more added ingredients or higher fat content. If you make and sell lawn mowers, clearly demonstrate how your model has less emissions and runs more efficiently. In the end, hard numbers are what make the sale.
If vendors press you for a tangible representation of how well your product fares in relation to the competitor’s, try product comparison tools like Consumer Reports, Intel software and pricing apps that can back you up at every step of the way.
3. Forge a two-way partnership that will get you more money
Selling to vendors is a business transaction, and that cannot be forgotten. Vendors aren’t about to display and sell your product out of the generosity of their heart, they have to have some financial interest in the matter as well.
Commissions are an innate function to the process, but there’s still ways to manipulate the deal in your favor.
Don’t be afraid to agree on offering a discount to the consumers. It shows the vendor you’re serious. Plus, it improves sales for your product and their business, while also generating vendor and consumer loyalty. The result: more money. Offer them exclusivity on new high-end products or services and the vendor will certainly give you preferential treatment and build a long-lasting, profit-reaping partnership.
Income.com knows it takes some intestinal fortitude to launch a campaign to vendors, but it also knows that if you haven’t got that, you don’t have the guts to succeed in entrepreneurship. Contacting vendors on your own shows initiative, selling your product up shows confidence and arranging a profitable cooperation shows shrewdness. Get it together and take the next step by marketing and selling to vendors.