Monday, January 19, 2009

What do you think?

Let me know what you think...

January is the time to close the books, count inventory and plan the new year (which should actually be done the previous year but anyway...).

I thought alot about my sales strategy for 2009 and I've decided to focus my energy on Consumer Shows in Canada and US instead of selling through stores. Don't get me wrong... if a store is interested by my armbags I will be glad to sell my products to them. The issue right now is that by doing my product locally, production costs are high and because stores often request a 50-60% margin, it would be hard to survive - even with an increase in volume. By doing Shows, not only I keep the margin, but I develop a relationship with the end customers (who come back to the same Shows), I hear their needs and comments, I can tests products, etc. The costs associated with these Shows could be high but the revenues usually come accordingly.

I feel I could focus on a few markets (Montreal, Toronto, Ottawa and Chicago, NY, Baltimore) in 2009 and then sell in stores in 2010 when my volume is high enough that I can get better production costs.

Any other ideas or suggestions?
Please let me know