How to Get Your Product onto a Retailer’s Shelves: A Step-by-Step Guide. If your business sells consumer products, one of your dreams might be landing a spot on a major supermarket chain’s shelves. Getting into the big leagues (major supermarket chain) has many advantages, including faster product movement, greater brand exposure, and increased consumer reach. However, it’s essential to be well-prepared to avoid potential pitfalls. Here’s a step-by-step guide to help you achieve your goal.
1. Evaluate Your Business
Before partnering with retailers, ensure your business is ready for the transition. Consider the following questions:
- Demand: Is the demand for your product high enough?
- Production Capacity: Can your business handle the extra production volume if you land a deal?
- Profit Margins: What will your profit margins look like?
- Payment Terms: Are the payment terms agreeable?
Retailers usually have specific standards for suppliers, such as product liability insurance, non-refundable fees, refrigeration costs, merchandising attendants, and compliance with product and food safety requirements. Make sure you meet all these criteria before approaching retailers.
2. Network with the Gatekeepers
Breaking into big retailers can be challenging due to the competitive and close-knit market. Networking is crucial:
- Use Social Media: Platforms like LinkedIn can help you connect with decision-makers.
- Personal Introductions: Leverage your current contacts to get introductions to key people.
- Direct Contact: Reach out to buyers or category managers via phone or email to pitch your product and learn about their policies and procedures for new products.
3. Fill Out a Vendor Application (vendor application process)
Once you confirm that you meet the retailer’s requirements:
- Obtain the Form: Get the vendor application form from the retailer’s office, website, or request it via email.
- Submit and Follow Up: Submit the form and wait a few weeks before following up. Avoid incessant calls or emails. Instead, ask for a specific date for feedback on your application.
- Open Vendor Days: Attend monthly, quarterly, or annual open vendor days to showcase your products and express your interest in doing business with the retailer.
4. Prepare Your Pitch
If invited for a meeting to pitch your product:
- Presentation: Decide whether to pitch yourself or hire a manufacturer’s representative if your product line involves frequent changes, like clothing.
- Industry Knowledge: Familiarize yourself with industry terms such as conditions of sale, discounts, credit, shipping, and allowances.
- Product Sample: Prepare a sample of your product, including its packaging, barcode, and pricing. Also, have a product catalog, price list, manufacturing information, business history, list of other retailers selling your product, and your business card.
- Marketing Efforts: Discuss how you will help market the product with points-of-sale displays, in-store demos, and in-store attendants.
5. Increase Production Volume 9 get product onto retailer’s shelves)
Once you sign the vendor contract:
- Meet Demand: Ensure you can sustain the increased demand for your product. Work with your manufacturer to maintain quality.
- Maintain Quality: If product quality declines, the retailer may drop you, and you could lose customers.
Conclusion
Don’t be intimidated by big retail. With the right preparation and information, your dream of seeing your product on supermarket shelves can become a reality. Evaluate your business, network strategically, complete the necessary applications, prepare a compelling pitch, and be ready to scale up production. By following these steps, you can successfully transition into supplying major retailers.
