The Entrepreneur Forum | Financial Freedom | Starting a Business | Motivation | Money | Success
  • SPONSORED: GiganticWebsites.com: We Build Sites with THOUSANDS of Unique and Genuinely Useful Articles

    30% to 50% Fastlane-exclusive discounts on WordPress-powered websites with everything included: WordPress setup, design, keyword research, article creation and article publishing. Click HERE to claim.

Welcome to the only entrepreneur forum dedicated to building life-changing wealth.

Build a Fastlane business. Earn real financial freedom. Join free.

Join over 90,000 entrepreneurs who have rejected the paradigm of mediocrity and said "NO!" to underpaid jobs, ascetic frugality, and suffocating savings rituals— learn how to build a Fastlane business that pays both freedom and lifestyle affluence.

Free registration at the forum removes this block.

What to charge for a wholesale price?

StartupsRFun

Bronze Contributor
Speedway Pass
User Power
Value/Post Ratio
65%
Jul 2, 2013
251
162
36
So I have a product that I am going to start selling to stores. Ive decided based on the market that the appropriate suggested retail price is $4. I get the product from China and with packaging cost me about $.50. Im wondering what I should sell these to stores for. Is it normal do to 50% of the retail price. Has anyone sold a product to stores, and have any advice?
 
Dislike ads? Remove them and support the forum: Subscribe to Fastlane Insiders.

PSDSH

Bronze Contributor
Speedway Pass
User Power
Value/Post Ratio
146%
Mar 4, 2013
71
104
North Texas
Keystone pricing is 50%, so yes. Now, if you get a distributor involved you can figure on them wanting to buy from you at roughly 30% off that 50% number ($2.00 -.60=1.40)). Then there can also be a sales rep cost of 5-10% off that number.

In my case, on my second product that requires me to get licensing for logos, I essentially am selling my product at 17-25% of retail price...lots of hands in my cookie jar.
 

Walter Hay

Legendary Contributor
EPIC CONTRIBUTOR
Speedway Pass
User Power
Value/Post Ratio
401%
Sep 13, 2014
3,318
13,319
World citizen
So I have a product that I am going to start selling to stores. Ive decided based on the market that the appropriate suggested retail price is $4. I get the product from China and with packaging cost me about $.50. Im wondering what I should sell these to stores for. Is it normal do to 50% of the retail price. Has anyone sold a product to stores, and have any advice?
My former importing business sold mostly to the end user, but there were some good sales to stores. I never handled anything so low in value, but some of the principles remain the same.
  • Retail stores whether large or small constitute a credit risk.
  • Reduce that risk by giving a bigger discount for COD.
  • Reduce your risk by only buying direct from manufacturers and selling at high profit margins.
If you are buying out of China, are you buying direct from a genuine manufacturer, or are you paying a lot more and buying from a wholesaler? Many, if not most, suppliers on the popular B2B sourcing sites falsely claim to be manufacturers.
 

MoneyDoc

Platinum Contributor
Speedway Pass
User Power
Value/Post Ratio
273%
Jun 24, 2014
1,578
4,313
For my energy drinks, I buy them for about $.43/can, I sell to the retailer for $1.04/can, they sell it for $2.30 a can, So they make a bit more than 50%. But, normally, 50% is a great incentive for them to put your product in their store.
 
Dislike ads? Remove them and support the forum: Subscribe to Fastlane Insiders.

Post New Topic

Please SEARCH before posting.
Please select the BEST category.

Post new topic

Guest post submissions offered HERE.

Latest Posts

New Topics

Fastlane Insiders

View the forum AD FREE.
Private, unindexed content
Detailed process/execution threads
Ideas needing execution, more!

Join Fastlane Insiders.

Top