Question

Topic: Advertising/PR

Can A Mfg Charge Something For Pop Display?

Posted by Anonymous on 10/3/2009 at 3:02 PM ET 125 Points
I am a small home biz trying to get off the ground with a product for the funeral industry - a contemporary, handmade cremation urn (DifferentCremationUrn.com). My product is high-end, so that I will not be requiring an opening order from funeral homes. I want them to display a countertop or shelf POP display, but I don't feel like I can afford to give this away. They would cost me $35-40 each. Question is "can I charge a funeral home $35 for a POP display". If not, can I charge them a signup fee? I intend to credit either one to a first order. I just read somewhere that retailers sometimes charge manufacturers for POP space, so of course I'm now worried about how to get retailers to partner with me cost-wise. Any thoughts?
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RESPONSES

  • Posted by CarolBlaha on 10/3/2009 at 3:05 PM Member
    Manufacturers pay for displays all the time. When I was a manufacturer's rep, we charged $400! Then we'd rebate it back to the dealer against future sales.

    At your price point of $40, you can probably rebate it back first sale.
  • Posted by CarolBlaha on 10/3/2009 at 3:26 PM Accepted
    Sometimes timing is just right!

    yes, retailers do pay for displays. Sorry!

  • Posted by CarolBlaha on 10/3/2009 at 3:46 PM Member
    As a rep, it was very important milestone that we were evaluated on-- getting a retailer to put up a display. And pay for it. It showed they care enough about the product to invest a piece of their retail space (their real estate) for it.

    One of the ways retailers evaluate store performance is by sales per square ft. We were selling displays that with a 5 x 4' footprint. That's huge. We backed up our dealer support with PK's (product knowledge) sales meetings-- so that everyone knew how to sell the product. Even with buying the display, if it didn't perform- -it was in the dumpster. That does not make a happy retailer.

    Justifying a high end product is pretty easy. But even with that- Phil is right-- it is getting them to invest the real estate. Even with rebating it back to them.

    They will bark about buying a display (don't use the word POP). But they will. And they'll be committed to making it work more so than something they get for free. We'd occasionally give a few away. But with few exceptions-- retailers who paid for the display out sold those who got the freebie.
  • Posted by CarolBlaha on 10/3/2009 at 4:20 PM Member
    Yes, call it a display. A POP is a cheap piece of cardboard that is by the cash register selling $5 widgets.
    It means "point of purchase"- -an item you implusively buy as your ready to make another purchase. You just throw it in the cart and "bingo"
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