Selling a Product to Newsagents

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Carhartt1892

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Hi,

I have a product idea that I believe would sell very well in a newsagents type shop. I have everything in place to get the product developed and could have them ready to go within a week. I have done some basic research but I am not hugely familiar with how I would go about selling this product.

My question is, how does one go about selling to a newsagents? I work in finance so although I have a grounding in business I have no experience of selling this type of product. Ideally I would first like to approach someone with multiple shops or even better one with a presence throughout the country. I understand that the vast majority of newsagents in Ireland are privately owned but can one sell a product to the franchise? For example, is it possible to sell a product to the suppliers to Spar or Centra - or is it a case, as I suspect, that one can only sell to them on an individual basis? Does anyone know how to go about approaching maybe Easons?

I feel it might be more beneficial to approach someone with a large presence before I sell the product to smaller retailers as I would be willing provide the product to them solely if the order was big enough.

If anyone is an owner of a Newsagents or has any experience in selling to one you might be able to help me out, but any advise or suggestions would be greatly appreciated.

Thanks for taking your time to read this.
 
Selling To Newsagents

You could try contacting Easons direct Conor Wheelan is the MD at Easons , they have 34 retail stores and around 16 franchised outlets.
email: [email protected]. Try and fix up a meeting with one of the buyers. Good luck, let us know how you get on.
 
Address your distribution strategy in your marketing plan. It is probably going to be one of your biggest challenges. It seems like you are beginning to think about, which is a good thing.

Start off with a bit of research and conduct some direct interviews with some newsagents. Invest in a pilot with a few of them, perhaps, to get feedback and fine tune your strategy.
 
Thanks a million for the advise guys. John - I actually emailed that easons address already but got no response. I didn't outline any specifics about the product, just that I had one which I think Easons would be interested in.

Bob - I have indeed been thinking about the distribution. Ideally I would go shop to shop myself and sell the product (or even sell it directly to the customer myself) but I work full time so hard to get a chance to do it. I feel the product would sell very well across the country (but in Ireland only) so I would like to get to sell to someone with a nationwide presence as it will be hard for me to find time to drive around the country selling directly myself. Also, do either of you guys know much about the mark up on newsagent products. My intention is to sell the product at 50c per unit to the retailer with a RRP of €1, so 100% mark up. is this a favourable margin?

Easons would be absolutely ideal for the product. I'm going to drop another email to this address and see how it goes. If anyone has any other ideas for how to go about selling to newsagents I would be most grateful to hear from you.

Thanks again for the replies, very much appreciated.
 
Don't rely too much on email for something like this. You're going to need to find a way to get face to face with the right people. Email is fairly easily ignored.
 
As you may know , cold-calling is frowned upon in Ireland today , and indeed an unsolicited visit by salespeople to business premises without prior agreement is also a no-no.

Our company always ask potential creditors/ debtors to introduce themselves by email first , which would be passed on to the correct department , and to follow-up with a phone call some days later .

This lead-in time is enough for a decision to be made , as to whether to proceed with full meeting or not .
 
Thanks guys. I have followed up with an email anyway so hopefully I will get a response, if not I will have to come up with some alternative method. Keep the suggestions coming and thanks again!
 
I would put your money where your mouth is and go and develop the product :)
Then when you have the product send in a sample amd keep phoning to try and arrange a meeting.
 
Hi Irish Moss.

I have the order in for the product so I will indeed be putting my money where my mouth is. I'm reluctant to send samples as it won't be patented (it's a very simple product). I would like to get talking to someone and present it to them in person. Basically I think my best bet is selling a large amount to a place like Easons with a big presence and I feel they will be more keen on the idea if it is exclusive to them - hence I'm reluctant to sell it off to individual retailers before I give the big fish a go.

But I do think it would be useful to get some feedback from a few shop keepers, so if their are any newsagent owners on here let me know and I'd be more than happy to call into your store and let you view my product.

Cheers for all the advise by the way - I'm learning (slowly)
 
Firstly, get your costings, RRP & margins right. If its high volume with little waste, then a 41% margin will be acceptable. (50c cost, €1 retail is 41% margin as vat is not part of retail profit - €1 = 83c+vat)

If its a product with high display space required & high wastage such as greeting cards - then a higher margin of 50% will be required (100% mark-up +vat)

You must send details of the product - Easons are retailers, they have no interest in manufacturing products themselves and won't run out to copy it. If they / other retailers like it, you'll get a meeting.

BTW - you have to remember they see hundreds of new products every week and even if a product is a great product, a retailer may not see it worthwhile to stock a single product from a company.

Another alternative is wholesalers - Budget Greetings in Parkwest, Fitzpatricks on Killeen Road & Better Buy cards in JFK ind est are 3 that come to mind that sell to newsagents / novelty / card shops.
 
Thanks a million for the feedback Mcaul - very much appreciated. I do have a few questions though:

Pint taken on the VAT but is the mark up not now 66% if the retailer gets €1 (net 83c). ie. 50c x 1.66 = 83c?

The product will take up very little display room - the display box could comfortably sit on the counter of a shop - about the same size as a bos used for selling charity sweets/key rings.

Point also taken on Easons. I will send them on a product spec. Regarding the other names you mentioned - you say they are wholesalers, do you think I run the risk of them taking my idea and producing it themselves or again, do they simply distribute and not produce? Baciscally, my product is quite simple would be easy to replicate - especially for places with contacts like theirs.
 
why dont you hire a sales person to get you in the door.
Or go to an enterprise board, not looking for money but just to setup intros etc.
 
This might seem quite cringey (I'm cringing a little as I type) but... you might get some ideas from watching tv shows like the apprentice and dragon's den (on tv 3 / bbc player or U tube old episodes... its not that its perfect and you'll immediately know what to do and who to go to, but it might be useful to see some of the things that work and the ones that go horribly wrong!!
 
Thanks Dock and Millie. My product is a very short term thing - it's a means of making a quick few pound but it's not a business. It only has a shelf life for a couple of months so it's not worth my while of exploring things like hiring a sales guy or looking to get further investment like the in the dragons den. Again - I do appreciate the ideas though, keep them coming!
 
Carhartt1892 said:
Thanks Dock and Millie. My product is a very short term thing - it's a means of making a quick few pound but it's not a business. It only has a shelf life for a couple of months so it's not worth my while of exploring things like hiring a sales guy or looking to get further investment like the in the dragons den. Again - I do appreciate the ideas though, keep them coming!
Click to expand...


No, I meant have a look at old episodes for some ideas rather than to appear on it!
 
millieforbes said:
This might seem quite cringey (I'm cringing a little as I type) but... you might get some ideas from watching tv shows like the apprentice and dragon's den (on tv 3 / bbc player or U tube old episodes... its not that its perfect and you'll immediately know what to do and who to go to, but it might be useful to see some of the things that work and the ones that go horribly wrong!!
Click to expand...

To be honest, I think most of these reality TV shows have a tenuous connection with reality!
 
Sorry Millie - took you up wrong. I've watched probably all of the Dragon Den episodes - great show. Not such a fan of the apprentice. the UK one isn't bad, the Irish one is poor in my view. By poor I mean the standard of epople on it, they aren't overly creative or inventive and it's almost frustrating to watch.
 
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