Episode Transcript
Nina Huchthausen (00:06.926)
Hello everyone and welcome to the Makers Business Tribe podcast. My name is Nina and in today's episode, I would love to talk to you about what specifically can you do to help a stockist whose products are not selling yet. Meaning, if you have done a deal with the stockist, they have agreed to buy your products off you.
and displayed in their shelves in the hopes that heaps of customers are going to buy it, but sales are not as high as you two were hoping for. How can you number one, assess what might not be working in your favor? And number two, well, how can you address it? So I would like to use
This time today to number one point, the key points out for you and give you some actionable, simple and easy tools for you to have an informed conversation with the retailer or stockist that would like to sell more of your products or who you want to help out to sell more of your products so that you can then actually get on with life and get your product selling.
like hotcakes, okay? So let's get started. Point number one. So if your product, if a retailer has purchased your products and they are not selling, I would first take a look at their position and the display of the products. Because oftentimes if you...
had a conversation, they agreed to stock your product, but we haven't really taken the time to find the right location or spot for your products. If the retailer was just left to their own devices or maybe just a staff member, they might've just put it inside an aisle outside of eyesight and potentially customers might not notice or know that there's a new product in their store. So first thing,
Nina Huchthausen (02:25.774)
When you go back in there, I have a phone conversation. I'd like you to ask or check out where is the product because we want the product for certain to be on eye height and we want the product to take up a good amount of shelf space so it's noticeable. And we also want the product to be in a high traffic area so that everybody who comes to the store.
has the chance to notice and check out this new product, whilst at the same time, the spot should also allow for potential customers to pause, stop, take a look at the product, and test the product out. So position and shelf display is a really, really important one, because if a customer cannot see the product,
cannot pause and experience the product, or it might potentially just be swallowed by other products that look too similar, then that's trouble. So in that case, if this is what you're noticing, here's what I'd like you to do. Have a conversation with the retailer and approach it in a way that you are looking to create a win -win situation. Winning for them, meaning driving sales, and of course, winning for you.
and the product maker because ultimately you would love for your product to work out and be stocked and sold and customers served over and over again. So to make this a win -win situation, dear stock is retailer. Why don't we try out for the next four weeks to put our product.
into a high traffic area that allows people to stop and pause and experience the product, give it a little bit more space and visibility. Potentially we can put a poster or a jazzed up shelf display behind it to make it even more visible. And maybe we can also over the next four weeks create a second shelf position, maybe towards the checkout or in a different spot at the end of an aisle.
Nina Huchthausen (04:45.966)
somewhere where people might not expect it, but continuously walk past so that it kind of interrupts their flow of movement within the storm.
OK, so that's point number one. And very important, when you point this out and ask your VTL about it, make sure that you're not criticizing the way they've displayed the product, but you're here to create a win -win situation. Yeah. And to make it a little trial over the next four weeks and see what happens.
Point number two, point number two, have a look at how the staff is selling the product, meaning what is the sales pitch like?
Because oftentimes what we notice is when there's a new product in store and either the staff doesn't know about the product or hasn't been trained or hasn't been given the opportunity to experience the product, they have no tools to sell the product, number one. And number two, that also means they would not recommend the product. So.
If me Nina comes in store and are looking for something to help me sleep, your new product happens to be a sleep eight of some sort, but they don't know that it exists or they do know that exists, but they have, they have no, no business, no knowledge, no understanding about your product. What's the likelihood they're going to pull that out of the shelves and present it to the customer. It's probably very slim. So.
Nina Huchthausen (06:32.174)
If that is the case, then of course, the first thing we want to do is see, OK, how can we equip everybody in store with the relevant knowledge and understanding about the product? And how can we get them to experience the product? Because most of the time, once they have experienced it for themselves, they, if it's a good product, of course, they will become an advocate for you.
Because once they are loving it, they can't stop talking about it. And with anyone who comes into a store with sleep problems, they'll recommend it because they've tried it because they're loving it. They're a fan. Fans love talking about their product. So here's what I would like you to do. Because number one, you can't just ask the staff and say, hey, what's your sales pitch like? It could be a bit rude. So could you?
go in as someone who or send a friend, send someone to ask about or to share a problem that your product is a solution to see if they recommend it or number two, if they don't that this person gets a little bit more direct and say, hey, I've heard about this product here, which happens to be your product. Can you recommend it and see what the sales team says? Yeah, because if you.
If you literally observe what I just mentioned, that they get uncomfortable about the product because they don't know what to say about it, we got to need to help them out. It's not their fault because they got a thousand, two thousand, five thousand products in their store. How in hell would they know anything and everything about the product? If we as the maker don't teach them, don't give them easy and simple to remember and use tools so they can pitch your product.
So what it then does is it gives you opportunity to think about simple and easy ways to equip the sales team with knowledge and education, number one. And that could be easily done, short and sharp, two minute videos that you upload to YouTube. You can send the YouTube channel or playlist link to all of the different store owners. Say, hey, here's you some awesome tools for your sales team.
Nina Huchthausen (08:55.95)
They can watch it in their lunch break, no problem. Then you could create also little cheat sheet cards about your product specifically for staff that literally steps out the problems it solves, the payoffs of the product and the magic that it creates, and maybe even a QR code to you selling and pitching the product.
Just something simple and easy for them. It doesn't need to be a 10 page catalog because who in hell has time to study that? But videos that they can watch on the bus or in their lunch break, super easy and little cheat sheets that they can have behind the tool or put in their pocket can go such a long way. And another really simple and effective tool is also have like your key selling points on an A5 or A6 product card and have those product cards
that right next to your products, because number one, it helps the consumer to gain more insights and knowledge about your product. But number two, the staff can also pull that out and can take a look before they have a more informed conversation with the customer. See? Super, super easy to do. Number three, what is the pricing of other products that customers might come to this shop?
for versus yours. Now, ideally, you would have checked this out before you'd stocked the product there. Because if you're selling a premium product that retails at, say, $129, let's imagine it's a performance supplement. But all the other products that this store sells sits between $20 and $30.
your product will really stand out price -wise, right? And then the question comes back to who shops at this store? Does the customer that you've developed this for with a demand and a need for premium ingredients, premium quality, premium results shop at this store? Are these very price -conscious customers that shop there? Because...
Nina Huchthausen (11:17.39)
If it's the latter and people are just equipped to spend between 20 and 30 bucks per product, you will have a really hard time. And then either there's the opportunity to have a conversation with the retail and say, hey, how can we draw people into the store that are more after a premium product? Or is there a way for you to pitch my premium product to
your existing customers to see, can we convert them more into that premium mindset? If not, then it potentially might be better for you to pull your product out of there because this is this then also comes back to what does this do to.
Nina Huchthausen (00:03.47)
So key question is then also, what could this do to your branding and your brand reputation? Because if your product, your premium product, top shelf, is seen in a store that only attracts very price conscious customers, and potentially if the retailer bought this product off you, he will be very much inclined to reduce it in price as much as possible in order to sell it off. What does that do to your brand perception? Is that?
Is it good for you or could that potentially be damaging? So question for you to ask, I will potentially pull the product out and be very, very cautious of which retailers you pitch your product to because you want your product to, if your product is a premium product, you want it to be only seen in premium stores because that's where it belongs and that's where it will be appreciated for what it is. And that's where the right customers will come in.
wanting to pay the price that the product is worth.
Nina Huchthausen (01:11.694)
Okay.
So another question to ask or to have a conversation about is signage. So signs, as you might realize for yourself, on the road, in shops, everywhere can really help us out as an end consumer to draw our attention to a place where it's important, right? On the road.
We need to stop sign. It's a great reminder for us to actually stop at the end of the road and not cross the road. So if there's a new product in store, I would highly argue it's important to notify every customer who comes in to see, hey, I'm new. Try me. Have you tried me yet? Why not try me whilst you wait?
Or talk about a key benefit that your product does that none of the other products do. Or point out the most amazing customer feedback statement ever that people didn't know about that could then really make them stop. my goodness. What? This product turns me into a superwoman? Wait, that's me. I want it. So.
really looking at what is the signage around the product. If so, is there any signage? If not, well, what signage can we create to make me as a consumer see it amongst all the noise, stop for it, and make me try it and look at it?
Nina Huchthausen (03:03.182)
OK? And again, how do you best approach a retailer about that? We want to create a win -win situation here, right? So dear retailer, dear stockers, whatever. Yeah? I had a look at how you position my product and really love it. OK? But what I kind of felt like is because it's a new product, I want to make sure everybody notices it.
And of course, we all have tunnel vision all the time. We're coming for what we're in for. So it's very easy to just walk past and not notice it. So could we create some type of stopper, some type of attention grabber that points here? For example, you yourself as a maker could make up some wobblers that kind of pop out of the shelf that kind of say, hey, I'm new or try me. Yeah. But we maybe create a larger poster on top of it.
and that kind of gets people to stop to try it out? Or potentially, could we create some signage at the checkout to try me whilst you wait? And we have a little a few samples there. Or how about is could your product be an on sale opportunity? For example, if you were to sell your aroma diffusers in a flower shop,
Do you want to set up a bit of a deal, an intro deal for your diffusers in the month of June for any flowers that you buy over $50, you can get a diffuser for $12 instead of $18 with that. That could be a really great way to pull people in and buy the diffuser. At the same time, it helps the retailer to make more money because we want to set it at the
price point that the retailer pretty much get everybody to. You can do the same with a health food store, you know, at a basket size of $59 or $100, you can get this product for an introductory price, or you could do a two for one deal or three for one deal or something like that. So that is also a really, really important factor to help
Nina Huchthausen (05:28.494)
drive sales. Now, another really important point to check for is, do we have ample product testing available? Because if your product is something to ingest, to apply topically, to smell, to feel, give people the opportunity to do that. Because if that is one of the key things that people want to do,
Be certain of that it feels good, tastes good, smells good, that it does something for me immediately and it's a new product. It can help so much to get people to say yes to your product versus something that they already know. Because why do they go back to something they already know is because they've experienced it. Yeah. What does that mean for you? Well, number one.
Has the retailer put out testers or should you supply some testers? Is there a way for you to create a bunch of really small samples, one trial samples, if that's how your product works, to give to the retailer and potentially say to the retailer, hey, I'm going to give you, again, for the month of May, these 50 samples, and I would love for you to gift.
Your customer is that spent it over a certain amount or maybe buying a competitive product or something similar, my sample as a gift for them to try out. Now, what you need to make sure of is that it's correctly labeled so people can identify which product it is. So don't have it in an obscure tab so they don't know what it is or they can't ask for it. Again, when they come back and actually want to buy it. Yeah.
That can be a really great way because then you're not just, then you're getting just random people that the retailer chooses because there might be really loyal customers or the retailer knows these are customers who are curious to try new products or whatever else to try your product that haven't might not have even approached or looked for your product. And it can be a really great way to not just drive the sales of your product, but also create more.
Nina Huchthausen (07:44.942)
loyalty for the retailer and a retailer will love you for that because you're actually helping them to increase their reputation because who doesn't love to receive a gift as a customer.
Nina Huchthausen (07:59.854)
Then second last point, OK, we're getting close to all of the points that I wanted to talk to you about is also to see, OK, how much product do they sell in my category? So we had this is a real life example that just happened today in our tribe where one of our tribe members shared with us that they got into a florist.
who also sells gifts and diffuses and balms and lipsticks and so forth. And they got in there with a cream and a lipstick and a diffuser. But the florist within the last 30 days hasn't really sold that much of the product. And they are a bit concerned that the sales are not going well. So apart from going through all of these points with them, key question I also ask them to find out is like,
How much in general do they sell of similar products apart from the flowers?
Because hand to heart, in a flower shop, what's my likelihood in buying a really premium face cream? Unless it's Mother's Day and I need a gift for my mom, and I'm here, and Mother's Day happens to be today, and I just need something, and this looks amazing. Yeah? So understanding, how long does stock, like stock similar to mine,
sit on your shelves for can give you a really good indication whether this product moves slow or fast in relation. Yeah, because sometimes we can also feel like, my product isn't moving.
Nina Huchthausen (09:55.694)
but it actually is moving quite well based on the type of stock is that you put your product in for. Yeah. Of course, if you put your product into a David Jones in Sydney and it's a, it's one of it's part of like the core range, just, just, just a new brand, you would expect this product sells quite well and not just to a month. Yeah. But for example, in a florist in a small town,
where 95 % of what they're selling is flowers and the odd something, but they might have more stock to your product because it makes their shop look good, but they are well aware that it takes them about six months to now sell this off, then it might do fine. Yeah. So just being clear on that to help you set realistic expectations can be a really good way. And I would.
Honestly, say it was probably going to be really helpful data point for you to also understand what is the overarching revenue and growth opportunity with this retailer. Because some stockists or stockists, because some stockists that you might choose, and this will come from experience, they have fairly low revenue opportunity, but they might order with you every six months time. But they might they are also some who have really high revenue opportunity.
So check that out, I would say, even before you start selling to them so that you're setting realistic expectations for yourself on how big this account can get. And last point, last point, my friends, what else could you check out? Last point is actually more action focused for you. And that would be having a conversation after you've checked all of these other things. How about we do a demo?
Dear stockers, how about we do an afternoon of me presenting my product to your most loyal customers? How about we do something to get a bunch of customers in, have a bit of fun, get them to try and experience the product. Maybe I give away a price, but my intention is to get the product tried by people. Because if you know, as soon as the product is tried, everybody has been saying, my freaking God.
Nina Huchthausen (12:21.486)
Well, what can we do to just get the product into hands of as many people as possible to say, my God, and buy it? Sometimes the retail store owner might say like, yeah, one of my staff members can do it. But if you can, you want to do that. You can create the fun. You can draw people in. You're the best salesperson ever. And it doesn't just only help you to get the product in front of customers and to try it.
but also it's a great way to educate the staff. Because if you can get them involved and they can listen to you and they can hear your stories and they can see how you sell the product and they can get to try it, you are winning on all ends. And oftentimes this is the most effective way in stores with high revenue opportunities to get your product to sell. Now, would I recommend that at the flower shop?
I'm not sure because it's really just an edge product that you're selling. But if you are placing your product in the health food store, if you're placing it in anywhere where you see really high revenue potential, but what you feel like is missing for people to try and experience the product, do a demo. And it will change your life. Plus also, if you.
Take that time to collect as many feedback statements as possible. Get it onto your Google reviews, Facebook reviews, website. You're also massively increasing exposure. And for anyone who hasn't tried your product, to see all of those reviews. And it massively helps people to say, OK, I'm going to try that product. And last thing, of course, just a tip on the side. Make sure you capture as many.
customer email addresses as possible to build your email database. It has nothing to do with sales, but you always, always want to do that. Anytime you sell B2C, capture people's email addresses, build your database because if they loved it once, they'd be happy to buy and try it again many times in the future. Okay, my friends, this is it. This was today's episode, short, sharp, super action focused.
Nina Huchthausen (14:42.926)
And hopefully I've been able to help you guys get a much better understanding of how you can help your stockist to sell more of your products. Because at the end of the day, if you make sure that you're not just selling product and running for the hills, but if you are there for them with them, when sales are not going well and you can help them turn that around, they will become one of your most loyal customers.
ever met because you've helped them. You've not just said, hey, here's a product. Thanks for the money. But you've actually shown that your word stands for something and that you really want them to be part of your team to help you build and grow your brand and to get your product to the masses and help people make better choices by not just
seeing but experiencing and buying and loving your product over and over again. So I hope you enjoyed this episode and please spread it far and wide. Use the information that I've been sharing with you. Try it out and please reach out to me if you need more tips or you have other tips that I didn't mention to you today because I think if we can help.
more product -based businesses to get their product outs to the masses. We're just winning on all ends, my friend, and leaving the planet much, much better than we found it. Bye for now.
