Back to the studio with you. You’re already friends with your ironing board. I hope you like your computer, too. It’s going to have to make you some stuff now so that when you approach retail buyers to sell your work wholesale, you’ve made it easy for them to say yes.

In reading back through my previous post on this topic, I must first direct you to the comments attached to that post, several of which are from other buyers relating their own experiences of being approached by artists. I sincerely thank them for commenting, and adding their invaluable perspectives to this conversation! If you came early and are looking for more information, I urge you to go back and read comments that came in since you might have been there.

But if you’ve done your research and you feel like you’re ready to target the right places, it’s time to make your move. This is no science. There are many ways to do it. I can’t tell you what’s going to be the best way for you, or how all other buyers prefer to be approached. I can only explain my own preferences, and those of other buyers I’ve heard from.

I prefer a short, personal email from someone who indicates that they’ve done some research and picked my store to approach. (We often get emails that are obviously sent en masse to many different stores that we recognize as being in our neighborhood — this is not an approach I’d recommend. . . . Stores want to feel that they, and their relationship with you, is special and worth a bit of personal attention.) Most stores have web sites with their contact information available; I think you can send things to the attention of “Buyer” if you don’t have a personal name. Briefly introduce yourself, briefly explain what you do, attach sample photos or a web site, and most importantly, attach an easy-to-decipher pricelist with minimums and policies (terms, turnaround times, contact information). You don’t have to spend a lot of time explaining to us why your product would be perfect for our store — we know what we have, what sells, and what we need. (And, by the way, as far as minimums go — that’s up to you, but most people starting out have low minimums between $100-150, because it makes it easier for a buyer to take a chance on someone new if they don’t have to invest too much to do it.)

Alternatively, you could approach stores via snail mail, enclosing a line sheet (a sheet that shows thumbnail photos of your products with prices) along with an introductory letter and policies. It’s a bit more expensive to produce paper marketing pieces, but it’s nice for us to have your things on file if we decide to have another look at a later time.

I still don’t really recommend going to a store in person unless you’ve been invited, but that’s just me. I always feel very pressured and “put-on-the-spot” and I don’t like feeling uncomfortable, or making people feel uncomfortable, if things just aren’t right. I need time to think about stuff, and when I’m at my shop I’m thinking more about selling things than buying them. Some days we have more people come in to try and sell us stuff than we have come in to buy, and believe me, you don’t want to stop in on one of those days. . . .

Sometimes people call me out of the blue and want to have lengthy conversations about what they do and what they make. I don’t like this because 1) it feels like the cold calls I get all day long from mortgage brokers/windshield repairers/other telemarketers and 2) I can’t say whether I am interested in what you do until I see it! Let me see it. A picture is worth a thousand words. If you’ve sent us a query and want to follow up in a week with a phonecall to test our interest and perhaps set up an appointment to show us your work in real life, I think that’s not a bad idea — just start that phonecall with the words, “I’m Alicia Paulson from Posie, and I sent you some information on my product line last week. Might you have a minute to talk?”

That said, however, as a buyer, when I need product and I’m interested in something, I’ll call the person or email them right away. I don’t need a lot of hand-holding, and neither do most buyers, I should think. If you don’t hear back from a store you’ve approached, don’t dwell on it — just move on. There are so many factors that may not have anything to do with you that it’s not worth getting hung up on someone who’s blowing you off. Just take the stuff elsewhere and don’t get discouraged. You may get a call from them two months from now when they have the money/have customer requests/have time to think.

However you decide to approach your potential buyers, it’s good to make friends with your computer. You don’t need to be a graphic designer — but you do need to know how to get a good picture and find a way to deliver it. You want your marketing collateral (your web site/line sheets/pricelists/business cards/letters — all that stuff) to look professional and organized. We, as potential customers, don’t know anything about you or your work — think about how to catch our interest, and then make it easy for us to say yes.

Sorry everybody, this one’s a bit long.

If you’re intending to sell your stuff to stores, it’s very helpful to consider things from the boutique buyer’s perspective. Products make it to our shelves in one of two ways: We have either purchased them at a wholesale price from a manufacturer, or we have accepted them on consignment from a (usually local, but not necessarily) designer. When we purchase outright, the product is ours to sell, and ours to keep if it doesn’t sell. It’s always a gamble that we take, so we try to think carefully about the purchases we make, and that thinking involves many things: What do our customers want? What can we offer that will surprise them? What is unique to our location? Is the price point right for our customers? Do we have room to display it? Do we have other things like it? Do we love it? We may like and want lots of things, but we are limited by some of the above criteria. You shouldn’t take it personally when a store says no to carrying your products. You should also learn to edit the advice you receive quite carefully. Success involves both flexibility in the marketplace and integrity; don’t automatically sacrifice either when someone rejects you or tells you to change. All of us must, in the end, find our own way, and no one has a crystal ball.

But when you approach a store with the intention of selling us your knitted baby bibs, it’s important to think like a buyer, and recognize that the above questions (maybe a few more, maybe a few less — this is just how I think, after all) are paramount in that buyer’s mind whenever they are considering carrying a product. We really aren’t thinking about you and how long it took you to make that thing. We aren’t thinking about how much it cost you (financially, emotionally, physically), how many bills you have to pay, or your hopes and dreams at all. We are thinking almost exclusively about ourselves, and whether we’re going to be able to sell your product at the price point you are suggesting. I hate to be mean about it, and I’m not being: But understanding what is going through the mind of the buyer considering your product will help you have more success with the transaction and ultimately more success with your business, I think.

Nevertheless, there are certain things you can do before the buyer even sees your product that will help you curry favor. Here’s one: Research. When people start out selling their handmade things, they usually start with local stores in their city or town. If you’re not a big shopper and you aren’t familiar with your local shops, take a day off and get out there. Look at what they carry, how it’s displayed, what the general aesthetic and price point is. Take a business card. Buy something, and get a feel for the climate of the retail staff, how they package things, what’s emphasized among the product lines they carry. Don’t walk right in to a place you’ve never been before and introduce yourself as a local artist looking to sell your baby bibs! Nothing, and I mean nothing, will result in an icier reception. I can’t say exactly why this happens, but it happens. Resist the temptation to introduce yourself. Pretend you’re Veronica Mars and just spy. You’re doing research here, remember? You’re trying to save yourself the ultimate pain of approaching stores that are completely inappropriate for you and having them say, “Lady, do you know what we sell here?” Some buyers might be nicer than the ones I know, but why find out? Do some research.

I have great compassion for people who muster up the courage to pound the pavement. Trust me when I tell you that no one who loves sitting alone in their studio knitting baby bibs can possibly have the same Myers-Briggs personality type as someone who loves selling . . . anything. You are not alone in not wanting to do this. I promise you. But this is how people start out. And there are certain ways not to do it. I can’t tell you how many people we’ve never seen before come into the shop with a bag full of stuff and expect us to drop whatever we’re doing to consider their offerings. They may be out there, but I don’t know of a single buyer who appreciates this. Please don’t make this mistake — it is the surest way to make a buyer think you are unprofessional. Unless you’ve got some cupcakes for us in that bag, too, we will talk about you behind your back if you do this. On principal, we never buy things from these folks, and I can’t think of any book on business I’ve ever read that suggests it as a tactic. It is an inconsiderate and amateurish approach, and sends up warning flags to your potential buyer that you will be inconsiderate and amateurish to work with in general. Amazingly, it happens all the time!

Instead, try this. Research the stores you think would be potential candidates to carry your products. Make sure they are in different neighborhoods, or that they aren’t in direct competition with each other; stores want to be unique, and they don’t want their customers to feel like they can get the same stuff on every corner. If the store has a web site, go to it and read it. Discover whether or not they are strictly brick-and-mortar or if they also might sell your things on line; be prepared to have an answer if they ask you where else you sell your things, or whether you make them available on-line.Know your pricing. Don’t expect your potential buyer to figure this out for you.

In addition to your wholesale/suggested retail prices, this is what else your buyer will want to know: Where else are you selling your stuff? What is your turnaround time? What are your terms (i.e.: how and when do you accept payment)? What is your minimum opening order amount (i.e.: how much do we have to spend to make it worth your while at all)? What is your reorder amount? If you’re just starting out, I think it makes sense to set your minimums fairly low. This gives a store more incentive to take a chance on you, and reorder when/if things sell without risking a bigger investment. It is lovely if you take the time to think about these things before you make contact with a buyer; it’s even lovelier if you’ve typed it all up along with your contact information, price list and some really good little pictures of your products (also called a line sheet).

Now you’re ready, baby. Put on those walking shoes and hit the pavement!

So, where were we. About that 50%. . .

As I mentioned in my last post about selling wholesale to retail stores, the traditional 50% wholesale discount can feel very steep for us handmade types. Galleries, boutiques that regularly work with independent artists and designers, and on-line handmade marketplaces have a much more flexible attitude toward handmade products. They are typically willing to to lower the discount they expect you to give (40% of the retail price to the shop, 60% to you, or even 30/70). But it’s fairly uncommon that a traditional retail store will accomodate this. If they love you, and they are willing to either make less of a profit or gamble on doubling the lowest price you’re willing to let the thing go for, even though the thing will wind up being more than your customers would pay if they bought from you directly (on your web site, say), you might work it out. But if you grow to the point where you have reps working for you, I doubt they will have time to negotiate this for you. There are lots of products out there, and stores have limited space and limited resources; they are obligated to make a minimum return on their investment and risk. They are trying as hard as they can to stay in business themselves.

So — if you intend to sell your knitted baby bibs to many stores, and also sell them off of your own web site, and also at craft shows, you should know that the retail price at all of these venues should be the same. I know you will tell me that this isn’t fair/true/necessary, but I will say that, in my experience, it is, if only because it will make your life exponentially easier if you start out pricing your products in this way. If you have different prices for different people or different places, or you try to sell your bibs on-line at a price that undercuts the retail price your stores are selling them at, you will run into problems. I urge you to be realistic about your pricing, but to also value everything that you’ve brought to your product, and set a wholesale price that you are very comfortable living with. If you feel that it’s not possible to do so, you may want to pursue relationships with more flexible venues, or stick to selling retail direct to your own customers.

When I first started selling my products wholesale, several years ago, I was really shocked that stores got half of the retail price of something I had made, but now of course I understand it. Retailers have commercial rent, advertising, shipping, fancy packaging, credit card fees, employee wages, commercial utilities, special events, insurance, inventory, all sorts of overhead. They are also talking about you and your products to people every day, and occasionally getting editorial coverage for the lines they carry, which benefits both of you. Good stores earn their 50%, and the reward for both of you is their re-order, meaning they’re making their profit and you’re selling more stuff.

I will say that the reality of today’s retail market is that there hasn’t really been a paradigm shift in the traditional wholesale relationship that accommodates the handmade-product manufacturer very well, but it’s better than it was even five years ago. Nevertheless, you, as a manufacturer, are competing with companies that mass-produce their goods at very low prices. The retailer is always going to try to get your prices as low as possible because that is what their customers demand; customers who are choosing not to be at Wal-Mart in the first place are already fewer and far-er between than we’d like. Unless you are able to target very high-end markets who can ask very high-end prices, you will be pressed to find a way to meet the demands of the general public, who are, for the most part, buying happy meals that are cheaper than they were ten years ago. In a slow-ish economy, everything’s a tough sell if it’s not on super-sale. What people do and what they wish they did when they shop can be very different things; I think that, theoretically, people would love to support us indie designers. In reality, Urban Outfitters knocks off the deconstructed-seam-allowance look much more cheaply than we can, and it serves many people who appreciate the handmade aesthetic but can’t afford the real thing.

Nevertheless, we know that handmade work is something to be valued, and the more we can get our customers to recognize and appreciate all that’s gone into getting something into their hands, the more they will appreciate and be willing to purchase what we’re offering. It’s very important not to underprice your own work. Where there’s a will, there is always a way.

More on how to approach a store next time.

If you’ve made the decision to start selling your handmade things, you have a few venues for doing that. You might try doing trunk shows, craft fairs, and holiday bazaars to get started. You might build a web site or consider selling things through an on-line marketplace like Etsy. If you are ready to increase your production and deal with the demands of the retail market, selling your work to boutiques may appeal. When people ask me questions about how I got started selling things, I find that they are most interested in unraveling the mysteries of how to sell their work to stores. In my next few posts I’ll be reviewing some parts and pieces of the wholesale/retail relationship to help you decide if it is one worth entering.

There are good reasons, even in the global/web-site-lush world of commerce, to sell your products to shops. The most obvious of these is the increased sales you’ll experience and the exposure your work will gain as customers (and media-related types — yes, they shop, too!) have a chance to see your things in person, every day, all over the city/state/country/world. When you first start thinking about what it means to sell your . . . knitted baby bibs . . . to stores, it’s helpful to familiarize yourself with the basic wholesale/retail structure that most product buyers will expect you to understand. To that end, a little vocabulary:

Product: What you’ve made, and what you will sell
Product line: The entire range of things offered by a designer or manufacturer
Manufacturer: Not a romantic term, but let’s face it: If you’re going to sell things to stores, this is what you’ll be called. There is very little about this relationship that is romantic, anyway, I promise.
Buyer: The person at a shop who makes the decision about what to purchase for its shelves
Wholesale price: This is the price that you will sell your handknitted baby bibs to shops for. Generally, it’s 50% of the retail price.
Retail price: This is the price that the customer who ultimately buys your bib from a shop will pay, sometimes also called the “price point.” It is generally double the wholesale price that the buyer has paid, and can be marked up to include shipping costs, neighborhood cache (i.e. high rent), etc.
Consignment: The practice of “giving” your bibs to a buyer without getting any money for them up front. The shop will sell them for you, and pay you a percentage of the retail price regularly when/if they sell.
Wholesale price: This is the price that you will sell your handknitted baby bibs to shops for. Generally, it’s 50% of the retail price.

I had to repeat that last one because if I had a nickel for every time someone has said “Wha-wha-wha-what??? FIFTY PERCENT???” to me when I define “wholesale price” for them, I tell you I wouldn’t have to sell another handmade handbag as long as I live. I’d be lying on the beach at Lake Como reading mysteries all day. That’s how many people.

So, more later, when you’ve had a bit of time to recover. Fifty percent is not . . . small. But, there’s hope. We’ll talk.

Hi! I’m Alicia, and I’ve been selling my crafts on-line and in stores, including my own store, for several years now. In this column, I’ll be talking in a general way about what it’s like to sell the things that you make, and I’ll give you some ideas to consider when selling your own work.

Whether you plan to sell your work on your own web site, at craft fairs, in shops, or at on-line marketplaces, let’s face it: The first thing you need is a name for your business! I love to think of names for things. If you don’t, consider taking a few of your creative friends out for drinks, and bring a pad of paper and pen for a brainstorming session — once you start talking about who you are, what you make, and what your vision of your business is, the words will start flowing. (A margarita never hurts, just to get the ball rolling.) Don’t stop at your first idea — the nature of brainstorming is organic, and you never end up where you thought you would.

Choose your name carefully! None of us can see the future, but when it comes to names you must try. You will, if you’re lucky, have it for a long time, and you will say it dozens of times a day, and see it in print, and hear it said by other people. In fact, say it to other people, and make sure they don’t say it back to you with a question mark in their voice and a bewildered look on their face, because you will be seeing that exact look on someone else’s face every time you say it. It reminds me of when my husband wanted to name the dog “Hercule Poirot.” The dog’s a girl, but that’s not the point. You want your name to be catchy and clever, but pronounceable, and not so obscure that no one will have a clue what you do — unless you like explaining that sort of thing a lot. You also want it to be specific to your work, but not so specific that it will pigeon-hole you into a particular product or “look.” Test your name on a bunch of people. Don’t necessarily take criticism or advice to heart immediately — this is your name after all, and at the end of the day, only you have to love it — but be aware that if you notice people having trouble pronouncing it, or spelling it (as they look you up on a search engine, for example), this is not a condition that is likely to go away.

Some days I wish I could start all over with a new name. If I’d had any idea six years ago that this would all last more than five minutes, I would’ve thought a lot more about it. And I would never again pick a made-up homonym, but, you know, that’s just me. If you haven’t already printed 2000 business cards and 500 woven labels, I envy you, I really do.

Where were we. If you already have a blog, you could consider using your blog name, or some version of it when naming the business division of yourself. If you’ve established a following, it can be a good idea to capitalize on the recognition-factor of the name you’ve already chosen for your blog. People have fairly short attention spans, and the more you repeat words and images (or, establish a particular “brand” for your work — which I’ll talk about in a later post), the more people will remember you. But if you are inclined to choose something fresh, I say do it. A new name can signal exciting changes, and pique peoples’ interest!

Do some searches yourself, and make sure no one is using the name you love. See what urls are available that relate to your name; if someone’s already claimed a url that you wanted, see if you can think of something similar that will be as close as possible to your business name. (Even if you don’t have a web site now, you may want to purchase a url for future use. Think success!) So many people have blogs and little businesses now you would be wise to choose something as unique as possible.

If you’re satisfied that your name is original, appropriate, and will allow your options to grow and change as your business does, remember to register that name with local authorities, and even your state. This protects you, and prevents others from using the name you worked so hard to think of! It will now be your “assumed business name,” and on legal documents pertaining to your business you and it will appear as, for instance, “Alicia Paulson d.b.a [doing business as] Posie: Rosy Little Things.”

For more information about the legalities of names, and registering them, please contact your county clerk, or the secretary of state where you live (or other local commerce authorities in your country). Also, consider investing in a few books about selling your handcrafts — they are invaluable reference tools as you go along. My favorites are by Barbara Brabec, who has been writing about crafts businesses for many years.