How to Sell Homemade Goods on Consignment

A local boutique is a perfect place to sell your crafts on consignment.

There is a great, somewhat recession-proof, demand for high quality artisan-produced goods. People love to buy one-of-a-kind apparel, jewelry and decorative home and garden accessories. If you love to produce these things, you might have the perfect love match. Unfortunately, while you are happily working on your art projects at home, customers don't know you exist. You could put your goods on a website and do social media marketing, or you could spend your weekends selling your wares at flea markets and street fairs. These options take time away from what you do best -- your craft. Let somebody else market and sell your artistic work by placing it on consignment in boutiques and consignment shops.

Instructions

1. Add up the cost of the materials used in the creation of your craft pieces, and estimate how much time you spent making the item. In selling the piece, your price should cover the cost of the materials plus the cost of your time. This will give you an idea of how much you need to receive after the consignment fee is taken out of the sales price.

2. Prepare marketing kits containing examples of your products, your consignment contracts, brochures and business cards. Some stores will carry your most expensive items while other stores might want inexpensive, mass-produced impulse buys. Consider the kinds of stores where you want to establish consignment relationships and prepare kits that reflect the individual characters of those stores.

3. Scout stores you are considering, before you jump into your pitch. Find out who is in charge of buying or selecting merchandise and ask if you can make an appointment to pitch your products. Don't mention consignment unless the buyer gives you a feeling the store would only accept your products on consignment. Be proud of your products and don't be shy about pointing out their appropriateness for the store's clientele. Be charming and cooperative.

4. Ask for a written receipt from each shop owner, detailing each item you leave on consignment, the sales price and how much the shop owner will keep out of the money received. Establish a date when you can remove or replace your goods. You may find another store that sells more of your pieces at a higher price, and it is important to be able to move more of your goods to that store without difficulties arising.

5. Help each store market your crafts. Suggest holding special showings where you can talk about your process of creation and take orders for custom pieces.

Tips & Warnings

• Rather than blanketing one shopping area with your products, choose one store in a local mall, one store in the downtown shopping district and one store in a nearby town so the stores don't compete for customers that buy your products. Too much competition will lower the prices on your pieces, but scarcity will allow the store owners to sell at the highest price they can get. Always do what you can to protect and assist the stores that sell your products.

• Never leave your craft pieces without receiving a receipt. It is best to have an agreement, in writing, regarding what happens if one of your pieces is broken, damaged or stolen. Discuss with the store owner whether you should allow customers to purchase and return your work.

References

• WHAM: Selling Your Products: How Consignment Stores Can Help
• Retail Minded; Selling Your Homemade Goods; Nicole Reyhie; January 2009