joyofsoycandle Posted November 1, 2005 Share Posted November 1, 2005 What is the difference? And what are your suggestions as to how to handle these. There is someone who manages the hospital gift shop here in my town and wants my candles in the gift shop. I am happy with the jars votives and tarts now, just have to finish testing the rest of the scents. Anyway where do I start with this. She wants me to come in wednesday with samples which im almost done making up. And i dont know where to go from there. I had wholesale accounts when I sold paraffin candles, but i just sold the candles at the cost times 2. But didnt have any kind of contract or anything. What do most of you charge as your minimums for wholesale, and what is the difference between wholesale and consignment? Any input is GREATLY appreciated! I want to be sure I do all of this right! Thanks! Quote Link to comment Share on other sites More sharing options...
SnowCow Posted November 1, 2005 Share Posted November 1, 2005 wholesale.....the business actually buys the candles from you and sets their own price for them. consignment.....the business doesn't actually buy. you put them in the shop and usually pay a rental fee for space and/or a percentage of the sale to the shop. you get no $$ until your stuff sells. depending on the arrangement with the store, you may get a check once a month or quarter.can't help you with the contract part, but im sure someone can!that's awesome that you have interest in your candles! Quote Link to comment Share on other sites More sharing options...
smiley_miley Posted November 1, 2005 Share Posted November 1, 2005 I am pretty sure that most of the time in consignment, they don't pay you anything up front. You get a portion after the final sale that you and the shop manager agree upon after they take out their selling fees. Sometimes this is good, sometimes bad. When you do consignment, you have to make sure that you are dealing with a reputable person, or you could have a lot of money/inventory go missing. I am pretty new to business, but my sister has had her own business for years in the antique field, and when she was new to things, she got taken advantage of a lot by people that took her things on consignment. They either said, "We don't have the money", "Come back another time", etc. etc. Or they would claim theft in some cases so they wouldn't have to pay at all. Since this is a hospital shop, it might be better for you, and they will most likely treat you better. You just have to be careful and keep records of everything. Wholesale is also another way to go. They can buy your items up front. If this shop manager feels confident that your items will sell in the gift shop, then they may not mind paying up front. You can do it either way. I hope that helps a little, anyways. Quote Link to comment Share on other sites More sharing options...
Trish Posted November 1, 2005 Share Posted November 1, 2005 As mentioned above, consignment = YOUR property. That is your cost sitting there until the product sells, then the store usually gets 20-30% or so...Wholesale, they buy for less money, but have to buy in larger quantities. Then the product is THEIR property. I can't say this this loud enough, if you do consignment, MAKE SURE YOU HAVE AN AGREEMENT/CONTRACT. Wholesale, you need terms too. I do $100 minimum, but also do minimums on how many scents per case for jars, and how many votives per scent. Quote Link to comment Share on other sites More sharing options...
gerrie Posted November 1, 2005 Share Posted November 1, 2005 Like Trish said, make sure you have a contract!! Also, if doing consignment make sure you know up-front what % she will be taking from the sales. Basically, you just have to have all your ducks in a row, better safe than sorry. Good luck Quote Link to comment Share on other sites More sharing options...
joyofsoycandle Posted November 1, 2005 Author Share Posted November 1, 2005 I have no idea how she will want to do things, I have to go talk to her tomorrow. She has been going to chicago twice a year and buying candles somewhere over there and selling them. Then she said she tried yankee candles because she can get them around here and people didnt like that they always turned the jars black. So she likes the fact that mine are soy and do not turn the jars black. She wants them available locally too. I just dont know for sure what to say to her tomorrow lol. I will just bring some candles in and see what she says and just be honest I guess, and tell her this will be the first time ive done this in a long time lol. My bf says she is very nice and friendly, so doesnt sound like it should be too difficult. Thanks for your input, and if anyone has any contracts please show me!! Thanks!! Quote Link to comment Share on other sites More sharing options...
RobinInOR Posted November 1, 2005 Share Posted November 1, 2005 Wholesale is a bit easier, since you've got the sale and don't have to worry about your property. If you want to edge her toward wholesale instead of consignment, mention the fact that her profit on wholesale will be larger than on consignment. Tradeoff is she has to pay up front, but sometimes the "larger profit" will catch their interest. http://muextension.missouri.edu/explore/miscpubs/mp0597.htmhas some info on consignment. Quote Link to comment Share on other sites More sharing options...
JJCandlesCrafts Posted November 1, 2005 Share Posted November 1, 2005 I have had some instances where they were the person was apprehensive about wholesale so I offered a trial consignment until they saw how well they sold, then went to a wholesale account. I would try to go for wholesale, and if they are worried about the upfront costs, this might be another way to get your foot in the door. Set up maybe a month or so for them to try your candles out... HTH. Joe Quote Link to comment Share on other sites More sharing options...
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