Order minimums and other rules/policies for wholesale orders to retailers
Go to Page...
Discuss the process of getting your t-shirt line into brick and mortar stores and selling offline. Topics include industry tradeshows, events, line sheets, sales reps and other retailing tips and advice.
Order minimums and other rules/policies for wholesale orders to retailers
Order minimums and other rules/policies for wholesale orders to retailers
Hi there,
I love the function that gives me some similar threads when I start the post, but even with searching and those, I didn't get a complete answer.
We're heading to the Atlanta Gift Market next month. I am new to the apparel industry, but not to events, tradeshows, etc.
I'm anxious about figuring the information I need to collect from prospective buyers or actual buyers (hopefully we'll have some??) and what information they'll want from me.
If someone decides to place an order for our t's, what information besides contact information and actual order should we collect? Is there some sort of agreement they should sign?
What are the typical payment terms for a new, small, start up t-shirt company?
When you do take orders at an event like this, do you fill them per the retailers request (i.e., ship in September or something??) or do you typically send them right out?
What information, besides the line sheet and general business information, will retailers be looking for from us?
I'm going to make a line sheet, have business cards and a contest where they can leave their cards for future contact. Is there anything else I should have available to them?
I'm so excited, yet nervous. And now I'm just trying to tie up loose ends...
Re: Order minimums and other rules/policies for wholesale orders to retailers
That's a lot of questions, most of which have no easy answer. So these answers aren't comprehensive, but here's some...
Quote:
Originally Posted by itsnotthatbad
Is there some sort of agreement they should sign?
Your order form will set out the terms of the sale for both parties (e.g. delivery date, payment terms, etc.), so I don't see it as necessary if you have that from them.
Quote:
Originally Posted by itsnotthatbad
What are the typical payment terms for a new, small, start up t-shirt company?
There isn't a single standard, but some of the common ones are:
Deposit up front, balance on delivery.
Payment on delivery
Payment up front
Payment X days after delivery (most commonly 30)
If it was me, I'd be attempting to get them to cut a small deposit cheque then and there to secure the order, but not pushing that point. At a trade show like that, I'd probably have terms along the lines of deposit within 14 days, balance on delivery.
Quote:
Originally Posted by itsnotthatbad
When you do take orders at an event like this, do you fill them per the retailers request (i.e., ship in September or something??) or do you typically send them right out?
There are basically two ways to do it:
1) Set "order by" date, and set delivery date. Obviously these dates need to match the industry standard for seasonality - which is hard since there is no single industry standard
2) Stated turnaround time, deliver on agreed upon date after that. In other words, state a minimum production lead time (1 week, 3 weeks, 2 months - whatever it is), and let the retailer nominate any delivery date that allows enough time for production.
Quote:
Originally Posted by itsnotthatbad
What information, besides the line sheet and general business information, will retailers be looking for from us?
It depends on the retailer. They might be looking for information on how you're marketing the line. They may want information on what other stockists you have, especially competing stockists in their area. Obviously product information.
Optionally, you could have other information for them to take away if they haven't made a decision about whether or not to stock your line - brochures, flyers, full catalogues, etc.
Some buyers will make their purchasing decisions at the show, but plenty will wait until they can actually think about it properly (and see what sticks in their mind as worth ordering).
Re: Order minimums and other rules/policies for wholesale orders to retailers
Thanks, Solmu. I have just been going through EVERY page of the tradeshow forum and have found more info -- not sure why it didn't come up in the search??
Your advice is very helpful. So many things to think about and I just don't want any loose ends.
I also, esp in this economy, want to be as flexible as possible. But I do want to keep some semblence of order... As far as minimums, dates, etc.
Re: Order minimums and other rules/policies for wholesale orders to retailers
I'm a 20 year Atlanta Gift Mart veteran from sale rep to business owner. Here's the norm:
credit card ALWAYS on first three orders... at least. then if they ask for terms get every bit of information out of them and VERIFY it before sending anything out the door on credit.
Don't charge card until 'ship date' (which may be set by the customer). However, here is some verbage I have printed on the bottom of my sales forms/// This purchase order is made to order and boxed especially for your store. Changes and or cancellations to orders requested to ship as ready should be made within 48 hours from the date the order is placed. Changes and/or cancellations for orders with future ship date should be made at least 14 days prior to the date of shipment.
From experience, I try to run credit card and it gets rejected. Job is already packed and ready to ship, customer cancels order. So, needless to say, if this is a custom job, I would require enough $$$$ up front to cover ALL my costs.
Good luck and I'll look for you in ATL. Hope you know it is usually hotter than !@#$ in the building in July. We're your booth?
Re: Order minimums and other rules/policies for wholesale orders to retailers
Oh, be sure to get email. Start a list for updates from your line. You'll get reorders just from good emailsThey'll want to take catalogs (which are expensive) with them. You'll go through millions (or it seems). If you get a market magazine, look on page 228. That's a tee that is stirring a lot of interest (from my customers who will be attending.)
Make sure your booth is eye catching, but not cluttered. You know hot pink and lime green are primary colors in the south, ha! ha! Good luck again!
Re: Order minimums and other rules/policies for wholesale orders to retailers
God bless you, Mrs. Bonnie... Or, as we say in the south, "bless your heart"...
I'm a yankee transplant, so it doesn't come out quite right; but I'm sure it sounds great on the internet.
THANK YOU so much... Would you mind if I pick your brain some more???
1. What do you recommend for dress? Our product is fun and casual. I've heard both ways -- dress up and professionally, or business casual. Our booth will also be "fun" (at least if it goes according to plan).
2. Lighting. I'm trying to decide whether I need it or not. I'll have a wall displaying the t-shirts, which will be hung on two lines, one above the other. I know it's great for accenting and highlighting. Can I go without it or is it worth a few extra bucks (which add up).
3. Computer and credit card processing. Is it ok to take all the info and process at home, or should we do the initial approval while the card is there (knowing it's not charged until shipment)? I'm also thinking it might be easier for my booth staff (boyfriend and a client from my other business) to just take manual orders and not have to worry about internet connections, knowing my computer program, etc.
4. UPC's and hangtags -- get those now? Hang tags are no problem. I'm trying to decide when to make the investment into UPC's. Since there are some big buyers that go to the show, I'm thinking it might be worth it to do it and have all my ducks in a row. Even though we are prepared for zero sales, I don't want to miss anything I need to attract/satisfy buyers.
So I'll see you next month?? I'm an excited wreck. We're building our booth this weekend. As [good] luck will have it, we have a friend that does retail carpentry, painting and finishing. What a Godsend...
I made a scale model of our booth. We're in a tiny space on the 5th floor temporary booths. We're at the end of a row, right beside the bathroom. I can't imagine what a zoo the place must be, but I think our little booth is in a decent spot... I would love to show you the booth mockup. We're going to do a dry run here in our parking area to see if it will all fit together right. Got to have it to the warehouse by next Friday, so I'm keeping my fingers crossed...
Re: Order minimums and other rules/policies for wholesale orders to retailers
Quote:
Originally Posted by Oh Yeaus!
Just dropped of the face of the earth... that's me! How did your show go? Did you return to the January show? How's the business? Just wondering....
Show in July went great considering we only had five t-shirts. We covered all our expenses and made a few bucks getting started.
Went back to Jan show... It wasn't worth our time at this point. We have another business the occupied a lot of time we needed to help get this new one going and growing. We had new products that we didn't have time to develop and get. It was our fault, but we didn't want to pass on the show. In hindsight I'm 50-50 on whether we should have gone.
I'm not sure we're going to July or not. If we can continue to get our product line where need it to be and get our booth the way we want it to be, then yes. But I'm not sure I'll have time to do that. I felt really rushed for both shows and we're working on balancing both businesses -- plus we may open up another location for our first business here soon. So I'm not sure how deep we're going to get over the next few months.
Overall, it's great. But we weren't prepared for the Jan market as much as we needed to be. Our fault...
Still got some great contacts that we are working with, so in the end, I'm sure it will all be fine!!
Re: Order minimums and other rules/policies for wholesale orders to retailers
Congrats on your first tradeshow! Let us know how it all goes.
In addition to order forms, I would also bring some of your most recent press mentions so that your prospective customers will see that you're active in helping them promote your shirts.
Some buyers will request immediate delivery, others will request a delivery father out, so it all depends on the buyer.
I would also bring a one-sheet "fact sheet" that has information about your brand, your materials, where you are located, what you have available, etc. so that way if they don't place the order at the show, then they can at least that that with them for when they're ready.
This is a discussion about Order minimums and other rules/policies for wholesale orders to retailers that was posted in the Offline Retail and Tradeshows section of the forums.
Order minimums and other rules/policies for wholesale orders to retailers 
So I'm not sure how deep we're going to get over the next few months. 
