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#Post#: 206--------------------------------------------------
Wholesale Direct to Customer
DIR By: Jonny Bage
Date: June 11, 2020, 2:56 am
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I have been reluctant to post on the forum about the above
subject until I had canvassed opinion amongst both the trade &
wholesale arms of our industry. Unfortunately the message is the
same from each. One of the wholesalers (who will be nameless for
legal reasons) is selling direct...AGAIN!
Admittedly a little more subtle this time than the last attempt
but they have and are investing in an already successful
internet company (circa £850k per annum) which will do untold
damage to our industry if left unchallenged.
I am sure none of you need me to remind you of the consequences
this will have if they are left unchallenged.However, just in
case, here is my spin on it.
Other wholesalers will do the same - they will have no choice.
This wholesaler is selling directly to our customers and to us -
they are now the competition for the trade & wholesale "wanting
their cake & eating it"
This wholesaler will undersell through both marketing arms to an
already depleted market. Once other wholesalers do the same then
a wholesale price war will inevitably follow and the retail side
of the industry will cease to exist.
What can the wholesalers & retailers do to stop this?
WHOLESALE By way of the Trophy Retail Association I implore
every wholesaler to remove and stop trading with this internet
company with immediate effect.
RETAIL Every retailer using this wholesalers products should
stop buying from them with immediate effect.
We are all in unprecedented times because of Covid 19 and the
market place has been decimated for 2020. Sales will be at an
absolute premium (50% reduction)This type of direct selling is
unacceptable in normal trading circumstances but in these
exceptional times even more so.
There will be no problem with stocks. The market has been
reduced by half in 2020 so the wholesalers being professional
and sticking to a decent code of conduct can comfortably
accommodate the extra sales. It is a great shame that this
wholesaler have once again decided to go down the direct selling
route. A once market leader has again shown that greed and
underhand trading is their only marketing ploy.
I understand that there may be some "great deals" this year from
this company but once they have your customers that's it you
will not get them back. If they are not stopped then other
wholesalers will follow and in no time the retail arm of the
industry will die.
I will once again try and open other communication channels with
trusted wholesalers so we can reach as many retailers as
possible. If I remember correctly the last time this happened
the forum had over 5000 views. A very disappointed Alan Haysom -
Chairman Trophy Retailers Association (acting)
#Post#: 207--------------------------------------------------
Re: Wholesale Direct to Customer
DIR By: Annette Kirton
Date: June 11, 2020, 11:47 am
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The company in question, having been incorporated as recently as
last year, claims to have a 6 year trading history and many blue
chip customers.
Assuming this is not the retail arm of an established wholesaler
- and i've directly asked the question twice now - the lone
director would surely be known to other trade and retail
suppliers?
#Post#: 209--------------------------------------------------
Re: Wholesale Direct to Customer
DIR By: Mr Burns
Date: June 11, 2020, 1:08 pm
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::)
[attachimg=1]
#Post#: 210--------------------------------------------------
Wholesale Direct to Customer
DIR By: CARL
Date: June 16, 2020, 6:31 am
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The problem here is they are going to extreme lengths to make
sure no one can compete with them in retail 1.99 delivery in the
UK for orders under a tenner, next day delivery on everything
they sell, , there will be nothing left for retailing if this
carries on everyone take note!!!! one or the other boys, I hope
people act on this.
#Post#: 211--------------------------------------------------
Re: Wholesale Direct to Customer
DIR By: CARL
Date: June 17, 2020, 5:16 am
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If every wholesaler turned around and said they are all going
direct to the public, where would your business be in a couple
of years time?
The question here will be how many people will stop selling
there products to help the retail industry, as we are all in a
situation at present to sell what we can and earn a living.
I suspect the armchair sellers do not really care and will not
affect them to much, for now anyway.
What are the retailers views on this and by doing what they are
doing, will you do anything about it?
Any one care to debate on this, looking for other views on this
please
Thanks
#Post#: 219--------------------------------------------------
Re: Wholesale Direct to Customer
DIR By: Mr Burns
Date: June 19, 2020, 10:10 am
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[attachimg=1]
If you can take advantage of a situation in some way, it's your
duty as a Wholesaler to do it. Why should the race always be to
the swift, or the jumble to the quick-witted? Should they be
allowed to win merely because of the gifts god gave them? Well I
say, "Cheating is the gift man gives himself."
#Post#: 221--------------------------------------------------
Re: Wholesale Direct to Customer
DIR By: James10
Date: June 19, 2020, 2:09 pm
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Just a Update there are more staff working for this web company,
they have a production manager and this member of staff has
previous experience working for a well established wholesaler so
there is more than one member of staff working here who manages
other staff also! See attachment below.
So just to confirm there are more staff working for this company
which does not support costs against margin estimates which a
company like this would incur like all of us.
[attachmini=1]
#Post#: 227--------------------------------------------------
Re: Wholesale Direct to Customer
DIR By: James10
Date: June 20, 2020, 3:52 pm
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I have been talking to number of people regarding a heavily
discounted site that has a very high advertising spend to win
its orders and the figures realting to costs and selling prices
dont stack up
Margin against costs
I have attached a summary below to add to thoughts and
discussions.
[attachmini=1]
#Post#: 229--------------------------------------------------
Re: Wholesale Direct to Customer
DIR By: Annette Kirton
Date: June 25, 2020, 5:45 am
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Interesting programme on BBC this morning where the topic of
conversation was the trustworthiness of online reviews.
They made reference to the similarity of fake reviews, the use
of industry language by supposed end users etc.,
When, for example, the overwhelming majority of reviews focus
entirely on speed of delivery, eyebrows should be raised.
#Post#: 230--------------------------------------------------
Re: Wholesale Direct to Customer
DIR By: James10
Date: June 25, 2020, 7:14 am
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Hi Just as a review of online activity and its scale and who is
doing what?
Search the word trophies and also search medals in google wait
for results and then click shopping at the top of your page
next to images and videos etc.
when the results come up after the shopping tab is selected you
can select by seller the number of products that a seller is
advertising online. It is worth selecting individual sellers and
then cheacking our many items each seller is advertising you can
check this by going to the bottom of the page and see
goooooooogle which dispalys the umber of pages advertised by
that seller there are 52 trophies per page you can calucalte by
multiply this by how many pages each seler has then search
medals and do the same.
To give you an idea to put these adverts up online would take a
3 days per 100 adds and then it would take constant monitoring
and 100 adds would cost circa £200 a day you would need endless
resources and cash to support some of the bigger campaings and
soon get to £100,000 -£250,000 per annum if you showing over 400
adds daily. Cost of adds 60p to £1.00
I am pointing this out to show how easy it is to get to the
market if you have the funds and people to do it which has a
huge cost and not many of us can support.
Come on we are not stupid!
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