I posted in r/entrepreneur but didn’t get any notice. Hoping someone here can give me some advice.

So I’ve to created an MVP product in my industry as a learning experience - a trial in everything I know nothing about. Marketing, ads, sales, etc.

I know my industry very well but I’ve not had to wear many hats, so to speak. I’d love to get some advice m

What should I be doing to get this product noticed?

A few considerations:

  • My industry is low margin so I don’t want to throw a ton of money at it as it will likely be slow return. I’m thinking maybe $2000 and seeing what that returns. I chose this sum as its a trial project and learning experience. However, I can increase if value is shown.

  • My industry is dominated by amazon so listing the product there is enough for this trial (and my focus for kickstarting this project). Potential for other lower return areas in the future but would take some man hours to get going.

  • The product is on its own; just like a fresh company would be doing. It’s the first product to hit the shelves.

Where am I now?

  • The product is created, shipped, and ready to list.
  • Profit is low at around $3.20/unit
  • Category sales are low. I’ll be happy with 50-100 units a month, though research shows could be up to 250 units by similar competitors.

So what do I do now?

  • I’m talking to a marketing person. I expect $1000 cost but I don’t really know what to expect from that.

  • I’m researching ads. Using industry rates, I hear $300 a month (separate budget to 2k mentioned above) is good for new product and to increase once key words are determined. I expect 3 months then adjust budget according to results.

What else can I do? I have about $1000 budget room left for this learning experience.

I’m keen to get insights 🙏 Thanks!

  • Thim135@alien.topOPBEnglish
    1·
    1 year ago

    Interesting. And if I wanted to outsource reaching out to places like 7-Eleven, who would I be looking for?

    Edit: sorry I mean what kind of person, sales guy?

    • cjasonac@alien.topBEnglish
      1·
      1 year ago

      Talk to people and chase down phone numbers. Find a similarly marketed product at your local 7-11. Ask the manager where it comes from. If they say “corporate,” then ask for the phone number of the person at corporate who they communicate with. Maybe it’s an independent distributor, but again they’ll know who that is…or they can tell you when the distributor typically comes by. Maybe they’ll just direct you to their district manager, but that person should also know.

      These things aren’t secrets. And if somebody along that chain thinks they can sell your product, they’ll let you know. Just make sure you can produce enough and that you can wait to be paid.

      You’ll have to provide displays, bar code data, packaging, etc. Packaging is typically around 20%-30% of the retail price, and the store will want a 40%-60% markup. So if your product cost is $5, your packaging cost will be about $1 and the store will want to sell it for about $12.

      You may find the store will want to pay on 30 to 60 day terms. Or they may want you to provide products at your cost and you’ll get paid when they sell. If you find an independent distributor they can help with education on this and possibly absorb some costs if you need prepayment. Be prepared to negotiate for every piece of it.

      If your product is unique, get a patent. You don’t want it to take off and have somebody else steal the idea. You’ll want to talk to an attorney about this.

      Good luck. It’s a fun world to be in, but it can be challenging until you get your sea legs.