Anybody work with a distributor?

[YoungDesigns]

Basically, my question is this:

In a scenario of manufacturer (artist), distributor (wholesaler), and Retail (store front) what percentages are common for a distributor???

I've read a few books that relate what a "sales rep" commisssion should be (usually 15% if no store front to 20% with a store front) but all the sales rep does is make sales calls, etc and does not handle shipping, etc.

So, working on a 50/50 wholesale price (pretty much the usual consignment percentages in these parts) what I need to figure out is what percentage discount a distributor should receive from the wholesale price?

BTW, the distributor will handle packaging, shipping, and some advertising.

Anybody????

[brettodie]

most distributors ive worked with get a 33% mark up or so.ie $10 =$15 to the store.they handle everything other then me sending them glass. peace brett

[PalisadeGlassGallery]

LOL..... Well working with / for distributors for over five years know the market is not a set percentage as much as what you settle for in order to get the work.. Lots of blowers out there will undersell by 50 cents just to get the work.. and Distributors know this..

The Key for any glass artist / blower is being steady and consistent both in timely orders and peaces.. Once that is seen its hard to loose a distributor and price point can be adjusted.. As for the books giving you a set price point.. Dosn't Well thats like trying to sell a car by Kelly Blue Book... Don'st mean a dam thing unless your selling Kelly Blue Books!

Work the price from the back end. and you may find your answer:

What does the peace sell in stores AT any given market.. Not priced.. but sells! A store owner never goes under half the retail selling price, while some get more.. its what the 50% rule works out to that they buy from.. Its called KEY STONING!

A Distributor is somewhat below that price point, no lower then 35% of that point in order to buy it from anyone. Or have it made in house cheaper.
Which sets the limit of what they would buy it for from you.. and even try to get it for less in volume.

Remember the RETAIL ( Market Price ) PRICE IS WHAT SETS THE PRICE POINTS DOWN THE LINE.. . NOT THE OTHER WAY AROUND.. ( WERE NOT IN THE OIL BUSINESS )

Hope this helps.. Its a shitty world out there in business.. but its a living.. If you know your shit.. its a good living. If not.. well theres always teaching.

[3 rip min]

my guy gets 35%... more on smaller things...