Working with larger accounts...

Working with larger accounts..OVC, Sundance, Femail Creations and Department Stores.
If the numbers like $5000 in back stock sound really scarry...then honestly you aren't ready to go after a larger account..yet! Start smaller, look for smaller accounts until you can handle the volume that is necessary to work with larger accounts. Try looking for local boutiques and galleries. Get some feedback and grow from there. Remember the larger the company you are working with the more they will expect from you. Most of the catalog companies that I deal with ask for Net 60 terms. Cash flow issues have been the death of many a small companies. The order numbers sound really nice $25,000 in orders...yeah...but just remember you need to buy the supplies to make all of that stuff and ship it and then wait 60 days after they get the merchandise before you get paid...and that's if they pay on time. So if you can't afford the output for supplies...you need to start smaller at first! One of the worst thing a new designer can do is go after a big account before they are ready.



Ok...so I haven't scaird you with the cash flow. You can handle that. What are some other obsticles to working on larger scale.


Samples
Most catalog companies do not pay for samples. And many do not return them. Most will only request samples if they are serious about actually looking into using your designs. But often things will happen and they decide to go another direction and don't choose your product. So if you don't get your samples back will you be devastated?

Production
Can you actually produce 100 of something in the turnaround time they need. What if it turned out to be 1000 items. Most catalogs need less than 5 week turnaround time, especially at the holidays. Some will even get into a pinch and need as little as 2 weeks.


Paperwork
If you are paperwork challenged. Catalog companies will be scary for you. For each catalog there is a mini novella to read filled with information about packaging, shipments, how to get paid, when you will get paid etc etc. Each item you submit will need a product specification sheet. Detailing out materials, country of origin, designer information etc etc. If you don't follow the directions as set forth you can end up being backcharged for any errors on your part. Say your profit is $10 on an item. Often backcharges are $5 per item or $50 per hour that it costs them to fix errors. There goes your profit.
I personally have never been backcharged. I take any contract that I sign very seriously.


So none of my warning have scaird you away from going for it.... then good...you are probably ready for it. Just remember don't plan ahead too much and over buy materials for orders you don't even have yet. (learned that one the hard way..anyone want 200 flower pot stick pins???!?!?!) Take a deep breath and submit some samples.

Comments

[Amery Carriere]

What is the best way to contact catalogue companies? Is it best to send line sheets and wait for them to ask samples, or send unsolicated samples? My line is pretty large and somewhat varied. I would hate to send a sample that doesn't fit what they are looking for.
Thanks for your help!
Amery

[Amy Peters]

The best way to initially contact larger catalogs is to send postcards or a catalog. If you are really sure of what to send, samples can be sent. But remember that most catalog companies don't often return samples.