Sales Roll-Out Strategy

Ward & Fifth Consulting
A free video tutorial from Ward & Fifth Consulting
Teaching the skills needed to launch a Fashion Brand
3.9 instructor rating • 14 courses • 8,995 students

Learn more from the full course

Fashion Brand Launch: E-Commerce & Drop Ship

Year 1 and 2 of your fashion startup should focus in these areas of sales

01:01:52 of on-demand video • Updated June 2017

  • How to get your brand carried with these drop-ship retailers
  • How Flash Sales can be a marketing, financial and inventory gold-mine
  • Why launch with E-commerce and not Wholesale
  • How Higher Margins and Inventory are achieved online
  • Key attributes necessary to have implemented into your website for sales and marketing
  • The best web hosts for fashion ecommerce
  • Keys to perfect brand imaging with your website
  • Who to use for your e-marketing platform
  • What is Drop-Ship?
English [Auto] Hello everyone this is Shawn Ward I am the founder and lead instructor at Ward and fifth consulting and I've been gone for a while. Thank you guys so much for your patience. I want to thank everyone online who in our previous courses appreciate all the feedback. I'm looking to make everything even better than it was before. I'm looking to finish all 23 courses this year. So you got to have a lot of information as you move forward to launch your own fashion brand. If you don't know about Wharton consulting. We work with startups from A to Z. So filing trademarks your LLC is your core to creating logos operating agreement building business plans sourcing overseeded social in America. If you need an e-commerce Web site social media digital marketing online advertising collaboration partnerships product placement celebrity placement event accelerated all the way to the end to make your brand grow. That's what we do. We work with startups to get the resources they otherwise would never have or could not afford. And we do it at a price that doesn't break the bank off of the New York Detroit and California. So with that being said I've been very busy over the last year but I'm ready to launch a new course. So let's jump into it. So in today's court we're going to talk about e-commerce and dropship. All right we want to really focus on online sales because it goes directly to your customer and then dropship because it's going to allow you to get in front of customers that you would have never been able to get in front of just like 10 years ago. Well jump into it. So there are very very there's a vast amount of ways to launch a fashion for some people really like to jump in and go straight to boutique. Some have relationships with department store so they go that route some go straight on line. This is my recommendation based off of my 15 plus years in the fashion industry. And this is what I suggest to companies so that they can be lean they can work within the minimal viable product process in BP and be a lean startup. So here is my recommendation for you guys. As you start to launch if you're in the early phase I recommend that you look at this also and maybe if you haven't gotten the traction that you like you would have liked with the wholesale business in doing retail. Maybe you can do a pivot and follow this strategy. So let's go. Year one in year two at the very beginning. Let's just assume that you've already developed your product you have manufacturing you're ready to roll out you have inventory whether it's in your apartment your garage or at a third party warehouse. Does it matter. This is where you should be concentrating on when it comes to sales and distribution. All right. For the first two years concentrate on e-commerce or at your brand's website. All right. That's YOUR MY DRESS my men's fashion brand I whatever your website is. Why. Because for one you don't have to worry about selling it to wholesalers and only getting the wholesale price for each sale. You go straight to retail. You buy your product from the factory or you make it yourself and you go straight to the retail price so your margins are higher too. It's going to allow you to communicate direct with your customer and not have to rely on communicating with buyers who buyers are hard to work with they have stressful jobs and their priorities are moving product that customers know about or are familiar with and that they can sell as much as possible. Newer brands that don't have a big name are going to have a harder time getting into those wholesalers so you go directly to the customer. You have a higher conversion rate than you would if you start trying to just call and e-mail every buyer out there. OK. So concentrate on getting customers to your website is going to be the most cost effective way that you can actually drive your business early on. And the more customers that you do get to your web site when you do launch into your wholesale business and sell into retailers you should be able to have a lot more traction and sailed through than you would if you're just a brand new brand. The second thing you should do in your distribution strategy years one and two is to actually jump into doing dropship with wholesalers. OK. Dropship is something that has really taken off over the last I would say five to 10 years. It did not exist when I started in the fashion industry back in 2003. But what has happened is that retailers have become smarter they become leaner because there's a lot of stress on brick and mortar. Whether as malls or department stores and retailers everyone know that the most the majority of purchases right now that are happening on are happening online. And so one way for them to be able to continue to offer a vast amount of brands and even startup brands and these brands and you know brand it to be able to do what's called dropship. And for those who aren't familiar dropship is basically where online retailers or retailers like Nordstrom and Macy's will offer products on their website but they do not buy it in the traditional wholesale model right sort of not buying the inventory and putting their warehouse and then shipping it to customers. What they're doing is they will partner with a brand like yours. They will say give us the excel file that shows all your inventory give us all your high res images. We're going to post it on our Web site. So say for instance the retailer is Nordstrom. They will post all of your products on their website and then customers can go in there purchase it and when they receive that purchase order or that order online they send you an email and then you ship it to the customer with a north ström label. OK. And what happens is you get paid in 30 days. The wholesale price and Nordstrom will keep the difference between the wholesale and retail price. So why is this a when when and why is it growing retailers love it they don't have to carry the inventory they don't have all the overhead that comes with its traditional wholesale business. And then for you at the start up fashion brand you're able to say I'm carried in Nordstrom on line and with and without having to work with a buyer that's going to be basically disregarding you because you're brand new. OK. So that's your first two years. The last thing I would focus on is your online flash sales sites for close out at the end of each season. So if this is your spring 2018 season is already online and then it makes Vino's to fall and you want to bring in your new fall product. One way to really close these out is to work with Web sites such as Gil Zulily ot look Madone et cetera. And these again are Web sites that are very open to working with early stage companies. They basically are if you have say a handbag that usually retails at $100 they're going to say we need at least 50 percent off. So they'll be more than willing again to put your product on their Web site. I've worked with Zulily of all would look our remodel the guild and what they'll do is be able they they'll put your product on their Web site they'll show this normal suggested retail prices 100 bucks. They sell it for 50. And then you guys split the difference. They win because everybody offer their customers very discounted products and then you win because you're able to get customers who would have never heard about your startup looking at your product buying your product and come in hopefully embassadors for your product. So those are the three things that you should really be concentrating on in your first two years of business. You should be very very concentrated on that. And then everything else should come out later. Year 3 then you should get into launching your wholesale on the online retailers again the traditional wholesale where these retailers buy the product and keep the inventory launch in a hotel in specialty stores and retail chain of the new boutiques. Your mom and pop stop shops again if someone contacts you and they really want to carry your brand definitely carry it. But I would not concentrate on this is not to say that in year one and two you shouldn't work with online retailers or specialty stores but I would not concentrate on it as you go into year for launching your wholesale at department stores international distribution working with distributors. We'll talk about that later. And then you can go into some Weissenstein. Easy way to launch and grow your product line without you actually has been in your own money. So Year 5 pop up shops shop in shops your flagship store a standalone brand has doors you can look to go into those. But this is a strategic rollout. We'll talk about a year three year four year five. Planning later in different courses. But we're going to really focus on year 1 and Year 2 in this course in the next lectures coming ahead. So thanks a lot. You can find it at Ward infere dot com finace online social media Facebook Instagram and Twitter at Ward and 5th. Thank you very much.