JustDoItForever
Posts: 2
Joined: 7/26/2009
Status: offline
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Hey guys! Question... I am getting into a sales consultant position where I am going to use my internet/web/marketing skills to promote and sell a line of items for the owner in apparel. There are various factors, so I will try to list as much here as possible so you can advise me properly...
$15 - Per Item Cost (in hand delivered, to owner)
$10 - Desired Profit per invidual item sold for owner
$80-$120 - Per Item Average Retail Value of Competition
Item is to be marketed as limited edition products, private label... with average total available quantity as 1000 on average.
Item has sold for over $100 in reselling retail store in the past.
Item label is not well known anywhere yet.
My job:
1. Redesign the web site for e-commerce
2. Internet marketing, top to bottom
Questions:
1. Now per item, owner wants me to stay within $35-$60 retail per item for sale... depending on the market, I will have to make a judgement call on this due to economy, season, etc... it can sell for more, but it is risky. He does not have funds to pay me up front, so this will be the best way if we are to move forward. Any input on this would be appreciated.
2. For bulk sales to stores, resellers, etc., he has proposed selling for minimum of $25/item, and within the $10 profit, I will get a 20% commission, so $2 per item. My thought is, if this is a sale through me or the internet, it is low since I am the sole culprit for the traffic to the sale... (well har dto prove but if he has not done any sales online like that ever...).. please let me know if that is still fair, or what is fair in this market.
I am in no way a marketing/sales expert, so any other thoughts would be much appreciated, thank you!
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Query on Sales Commission Rates, etc., for Consultants - 
