With shops like Gymboree and Babies”R”Us worth millions of dollars, it is no surprise the toddler apparel industry is worth an estimated $10 billion. Even with the slumping economy, it is estimated that over four million babies were born in the United States last year. What is particularly interesting to entrepreneurs is that women are now waiting longer before having their first child. The average age of first time mothers is up from twenty-one in the 60s to twenty-five today. The reason for this is that, because of the economy, parents are spending time improving their financial standing before attempting to start a family. This means that once they finally have kids, they have more money to spend on baby items. So, how might an industrious entrepreneur take advantage of this trend? The best way to do so would be to open a store that sells baby items, which does not compete with the major chains mentioned earlier. Instead of trying to compete with the big chains, individuals can reach a whole new market by opening a boutique.
When stocking baby boutique items, price is not the most important consideration. In fact, customers will instead expect to find items that are fashionable and unique within these kinds of shops. So, how does one acquire merchandise like that? The easiest way will be to purchase wholesale baby items. This can be accomplished by ordering from qualified distributors called wholesalers. These companies do not have their own storefront, and only sell their merchandise to other businesses, which means that they can offer their products at a lower cost. Also, since these sellers only stay in business if the orders continue to come in, they will usually work with shop owners to provide quantity discounts or even frequent buyer discounts. This is another great way that shop owners will save money by purchasing wholesale.
However, there are several things that shop owners should first consider before ordering wholesale baby items. Shop owners should determine the character of their store, as this will give them a better idea of what kinds of items to order. The character can be determined by asking questions like:
How big is the shop?
This will keep storeowners from ordering more items than they are physically capable of storing.
What will the shop layout look like?
Storeowners will make sure that they have enough space to display all of the different types of baby items they order.
Do the items fit the shop’s clientele base?
This one should be easy to answer. If the store is located in an area where temperatures never drop below 65 degrees, then one probably should not waste time stocking pants or jackets.
What will be the boutique’s focus?
It does not have to be just clothes. One can also order wholesale baby items like bedding, toys, and maternity clothing.
Once a storeowner has answers to these questions, they will be ready to order wholesale baby items, and consequently elevate their profit margin.