ReaclaimClique

How much to retailers generally buy shirts for? For example...

Say a Nike t-shirt is 20 dollars. How much would Nike sell that t-shirt to footlocker or lets say footaction for? Is it generally half of the selling price?

Thanks for all the help everyone.

 

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TeddyRocky

Quote: Originally Posted by ReaclaimClique How much to retailers generally buy shirts for? For example... Say a Nike t-shirt is 20 dollars. How much would Nike sell that t-shirt to footlocker or lets say footaction for? Is it generally half of the selling price? Thanks for all the help everyone.

Nike probably sells it for $1 or less lol. But in general, yes selling it wholesale at half the price of retail is a good rule of thumb. It's really up to you and how much the retailer buys.

 

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badalou

I kept looking at this question and kept passing on answering it. But I hope this will help. When you say retailers you have to break it down by size of operation. I can assure you that a small chain will pay more for the same number of shirts then someone like Target. So it is all relative. I worked for the Govt. Veterans Canteen and we had 172 operating retail stores. Mine was in Los Angeles. The people who sold to us were the same people that sold to AAFIS. Military. Army Air force Exchange service and Nixes, which was navy /marine. I can assure you we got the same pricing as target.. We were of course the govt. And our stores never charged sales tax. What you as a manufacture/distributor need to do is come up with price points based on the volume the stores will buy from you. Chain stores will give you a figure that they want delivered to each store but your price will be for the whole chain. This market is really hard to get into. The canteen has a show every year in St Louis and they share it with AAfIS. We, canteen chiefs (managers in real world) would go to the show and buy from vendors. I would easily spend $100,000 for product. Then it had to be OKed by our buyers and district managers. I was lucky as I had one of the largest operations so I had carte Blanche because of my sales volume. The customers of our product were veterans in the hospitals, their families, visitors and the employees. In Los Angeles I had 4000 employees to sell to.... TEES were a big seller.
Then the product would be delivered when I wanted it to show up. You also have to remember that the stores that your selling to has a certain type of buyer. You would not find high end buyers at a Walmart buying $50 tees but you would find them selling $8 - $12.00 Tees So are you prepared to sell your apparel at $3.- to $4.00 Wholesale? I stress that you go to the market and view the merchandise that is for sale at a cross range of stores. from Walmart to Nordstrom's. See if you have what they like then if you can handle playing with the big boys.. go for it.

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paulo

Lou is absolutely correct. The wholesale cost to retailers will vary depending on volume.

It is almost the same for leasing space. The cost per sq ft for the bigger anchor stores actually less than the smaller stores.

 

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