Where to Sell?

Small business have a lot of decisions to make when deciding how to deliver their product. Should they have a store front, a place where customers visit to buy products? Do you make a deal with an existing retailer (Walmart, Target, etc.) to sell your products in their store? Are online markets a viable option? All these options should be considered.

Store Front
Having a store is a great way to have a public appearance for your potential customers. You can control what products are sold, the atmosphere that customers experience, the staff that people meet, and the layout of the building. Stores are great, but usually only appeal to a local audience. Store owners that want to expand their reach either need to have an online market place or have multiple stores across a wide area. A store needs to be able to bring in customers to pay for staff, fixed costs rent or utilities), and promotions.

Deals With Retailers
Having your product sold with a popular retailer like Target can be a great way to capitalize on their success. Large retailers already have devoted customers who like the products and convenience they can offer. Selling in one of these stores has its own unique drawbacks.  These stores of full of potential customers, but even more potential competition. Unlike an individually owned store, you will be forced to compete with the other products that retailer stocks. Also, many of these large retailers have to approve your product. Walmart has an online submission process where suppliers can get their products approved to be sold in stores. However, they require a lot of information about your business including:

• Federal Taxpayer Identification Number (TIN)
• GTIN/UPC Membership Number
• Dun & Bradstreet Number
• Company Information
• Ethnic Origin
• Company Contacts
• Company Manufacturing
• Company Accounts
• Company Promotions
• Company References
• Company Sales

Understandably, those large stores need to protect their assets, but making a deal with them opens the door to a lot of regulation. 

Online Markets

Amazon. Etsy. Ebay. You probably recognize these sites. Online stores are becoming popular as the number of active internet users continues to grow. Most stores have an online website as a way of convenient shopping. With an online store, people can shop for your products whenever they please. You can customize exactly how your page looks and operates if you choose to host your own website. However, online stores need to be maintained. Payment options need to work, servers need to be able to host the traffic, and the design needs to be intuitive. People need to know how to find the products they want, how to buy them, and how they receive them. Owners need to have options to deliver their products. Mailing and shipping costs can be expensive. Having an online marketplace can be a great supplement to an existing store but may not be a viable standalone option. It is difficult to create a presence with customers using only a web page.