You'll Never Guess What Suppliers Think of Party Plan Businesses

By Belle on 6 August 2007 in Blog

Hey there,

Many party plan businesses find it difficult to find wholesale product suppliers who will do business with them. This is a really frustrating experience and you can easily take it as a personal insult (when you shouldn’t, it isn’t about you personally).

Wholesale suppliers want retail customers who place regular orders of a reasonable size that work in well with their existing customer base.

If the wholesale product supplier gets complaints from long term retail customers about another business moving onto their patch and under cutting them most suppliers will look after their long term customer and let go of the new customer or whichever is smaller. It is about loyalty.

Suppliers also have a problem when a new customer comes along and wants only to initially place a small order for samples then months later comes along and wants to place a big order for items that are now out of stock. When they can’t get the items the new customer gets angry and upset with the supplier because they are feeling the pressure from their party plan customers to deliver the items.

Many suppliers have had a party plan business get upset with them about stock being sold out and it’s been such a negative experience they right-off all party plan businesses who order from samples as being too difficult to deal with.

Whereas if you sell directly from your party plan business kit then you’ll order quantities that wholesale product suppliers are happy to sell. This can make it a heap easier to get new wholesale suppliers.

My friend Nicole has vast experience as a sales manager and had party plan businesses went into areas with their stock where they had a range of very profitable shop customers and sold the clothes 20% cheaper than the shops. The party plan businesses were able to do this because their overheads were less than the shops. The shop owners went mad and it became such a horrible upset that the party plan businesses were banned.

The result for the party plan businesses was that they couldn’t find local suppliers with low delivery charges so their business costs shot up and profits went down. If they had only competed with the local shops with say a 5% discount on standard items (periodic sale items are different) then the shops wouldn’t have had much of a leg to stand on – they probably wouldn’t have found out in the first place – and the supplier wouldn’t have stop doing business with them.

Personally I think it is best to source suppliers that can bring you products that aren’t in the local shops. This gives you more freedom with pricing and a great point of difference while also minimising supplier problems. I know this is something my wholesale party plan customers value with my range of jewelry.

With the internet home party plan products wholesale availability from all over the world is much easier.

So be smart with suppliers and doing business.

If you have a website associated with your direct sales party plan business then you can honestly say you have an online business and many are happy to supply these businesses. Once they find you are a good and consistent customer that isn’t ruining income from other customers then they won’t care how you sell the goods.

So remember when you start your own party plan business when you understand where someone is coming from then it is much easier to do business with them. Suppliers want good relationships with profitable customers.

We have more free articles about direct selling party plan business success online for you so come check them out!

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