Working with retailers with your leather goods

I was recently asked by a person on instagram if they could add my products to their store , the lady owns a shop in a small town were she is doing real well in the sale of mens accessories so i figured i would take a look at her offerings and if i like what she offers i may agree . 

After a few months the retailer made a change in the business so i cut cord and walked away but i learned a few things in the process that i will share here . 

Lesson #1: Retailers take a big cut of the sales price.

Retailers generally take a 40-50% cut of an item's sales price. This means you need to price your items accordingly. If adding 50% to the price of your goods is not feasible, then retail is probably not right for you. Also, keep in mind that your pricing must be consistent. You can't sell a belt at your retailer for $90, but charge $45 on Etsy. The customers will figure out the cheapest place to acquire your goods, and your retail relationship will come to a swift and inglorious end.

Lesson #2: You should get a bigbenefit in exchange.

Why do retailers take 50%? Because they're supposed to be providing value to your business. This value comes in the form of enhanced exposure, access to the business's clientele, joint marketing, and the value inherent in not having to file state sales tax returns, process shipping or provide in-person customer service. Now, 50% is a huge cut, so the retailer should be providing all of the above -- meaning, significant value to you. They should promote your goods via Facebook, broadcast email and other means.

Lesson #3: Be picky.

You don't necessarily need to partner with the first retailer that expresses an interest in you. Be selective. Visit the shop and look around. Would you shop there? More importantly, does the business cater to your target market? In my case, the retailer seemed to be a good fit for high-end leather accessories. They also featured jewelry and vintage home decor. But if I were selling holsters, I'd definitely find someplace else.

Lesson #4: Build your inventory.

Be prepared to meet demand for inventory, plus refresh your stock every 90 days. Your goal should be to establish a significant presence in your retailer's business. This means featuring a good selection of leatherwork. Different colors. Different price points. As an initial delivery, I provided 17 items. I've been told by other gallery owners that you should change out your stock every 60-90 days to ensure folks continue to see new stuff, whether it's selling or not.