Do you spend a lot of time managing a wide variety of promotional products that have to be available to a variety of people across your organization? Do you have more than 5,000 employees, and are they in multiple locations? Is there an external market for your products, such as a loyal customer base or membership base that would pay for items with your logo?
A web-based company store may be the answer.
You make top-level decisions about what products are needed for your employee apparel, promotional, and motivational needs, we procure them for you, and your associates go to a web-based catalog to order them. Products are shipped directly to the individual or department who needs them, eliminating costly re-shipping and the potential for theft, damage, and spoilage that involves. Payment can be made by corporate account (subject to credit approval), by our secure credit card processing gateway at time of purchase, or by check prior to shipping.
We are responsible for customer service, inventory management, and collections. Control your logo and your costs with a company store.
How much does it cost? What’s in it for me?
Because of the complexity of these projects, we typically prepare a custom proposal. But here are some rules of thumb in pricing and commission potential:
Website initial setup and maintenance $75 per hour plus expenses – typically a new store setup will cost $2,500-5,000, depending on features required. Website maintenance is $150 per month (waived if sales exceed an agreed upon figure), which covers software maintenance, management of a store domain or subdomain (i.e. your store will be housed at yourcompanynamestore.com or similar, not under our domain) and a dedicated merchant account (The funds will go in our account and we are responsible for all collections and merchant banking issues. We have found that a dedicated merchant account minimizes chargeback potential, since your member, customer, or employee considers themselves to be doing business with you.).
Product setup Amazingly, given the variety of products out there, most are available for $300-500 each. This is because the more expensive items typically are available with lower minimums. Garments tend to run to the high side because they must be stocked in each size and color they will be offered in. A single polo style in 3 colors would typically require about 30-50 shirts to be stocked at a bare minimum, for example. These charges also include website updates and photography.
Commissions We pay commissions on a sliding scale based on overall volume and the amount of inventory required to maintain the store. Typically commissions start in the 15 percent range once a threshold is reached that allows us to recover operating costs of the store.You can also opt to keep your products more affordable for employees and members by foregoing commissions.
Our typical projects are “turn-key,” i.e. we handle all of the above, but we will consider projects where you may only want part of the solution, and want to do part of it in-house.