Retailers, are wholesale home décor suppliers rewarding you for placing a pre-order? Are they creating new designs with your profitability in mind?
They Should Be.
Where can a wholesaler save costs and pass these savings along to their retailer customers? Let’s pull back the curtain on home décor wholesaler operations.
Giftware and Home Décor Designed to Sell
This is the goal of every supplier, but it is more than just following the latest trends. Products need to be designed wigth the retailer in mind.
- What is the best size for the item?
- Could the items demiensions be adjusted to reduce raw material scrap rates and have a better price?
- Will an assortment case pack help a retail store to be able to sell 3 pieces of two assortments more than having to sell 6 pieces of the same item?
Can we reduce the master case quantity so case quantities are more affordable to retail stores and provide additional benefits? Such as...
- Reducing the chance for breakage with a lighter weight master carton
- Easier to store in smaller back of the store warehouses
- Lighter cases to carry to the shelves
- A per unit price lower than the typical high quantity case counts filled with multiple inners found at most home décor wholesalers.
The answer is yes.
This is what ELC Designs Group understands and how we see the future of the industry.
Clear Ordering and Shipping Windows
If your supplier has clear ordering and shipping windows they can plan out manpower and shipping resources more efficiently. Shipping container space will be maximized and per unit delivery costs will be lowered. This is another area where savings leads to more competitive pricing and benefits our retailers with lower prices.
Economies of Scale at Home Décor Factories
A factory will offer a supplier a better price as the order quantity goes up. This is true whether you are producing a wood item, printed tin item, ceramic, etc. The amount of discount depends on the complexity of the item, materials and the past order quantities.
What is often misunderstood is that the price from the factory doesn’t fall forever and in fact levels out after several thousand units. Raw material costs, labor costs and factory margins can only be reduced so much. Even if tens of thousands of units are purchased the cost will hit a floor and not be able to fall further.
By preselling a line, your supplier should be estimating the number of units they are willable to sell to their retail clients and provide a price that rewards these customers for the order.
Lower Wholesale Home Décor Supplier Overhead
When a line is presold the guesswork on the amount of inventory is not needed. If your wholesale supplier just sells on a presale basis their inventory, financing needs, warehouse space etc. will be lower. These lower costs mean the price to the retail client can be lower, giving them higher profitability when selling to the end customer.
How Do We Know All This about Wholesale Home Décor Suppliers?
ELC Designs Group is a new company but our founders have worked giftware and home décor industry for over 20 years. Some have been sales reps, others owned retail stores, and others have been on the sourcing side and production side. Our broad experience means we understand what our customers require of us for them to succeed.
We believe a supplier should sell in order to best serve their retail clients. Preselling is an amazing way for our retailers to better plan their shelves for upcoming seasons.
Every product designed, price negotiated with our suppliers, and case pack quantity etc., is made to help our retail customers increase their profits.
For sneak previews of upcoming lines, and if you are a retailer looking to increase your profitability with the hottest trending home décor items, fill out the form below and click ‘Sign Up’.
Looking to Increase Store Profits?
Get access to our online store and catalog full of trending home decor designs.