Selling a few DVDs in stores...

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DVX100Shooter

Veteran
Have any of you done deals with local stores in your area to sell a small number of DVDs or videotapes?

I have 2 stores that have offered to sell my dvd but I am not sure how the process works. Do they make a commission off the DVD? Actually one store owner told me he would be happy to sell the product without getting anything from it.

Do I need to have a contract signed and all that?

A friend told me not to give the store more than 10 at a time since I was just starting out. If they sell out fast, I can give them more next time.

I am in the dark when it comes to negotiating the deal. Any tips on that? Any books that explain negotiating deals?
 
Ideally, you'd just sell 'em the product at a discounted price. I have The DVX DVD in a few stores, including Abel Cine Tech in NY & LA, Birns & Sawyer in LA, and Hello World in NYC. They buy the product from me at a certain % discount, and then are free to sell it at whatever price they choose (which, as far as I know, is at retail, $69.95).

So if the store owner wants to carry your product, see if they'll just buy a few off you. Depending on how high the demand is for your product, that determines how much margin you have to give them. I'd say since you sound like your product is completely unknown, you'd definitely want to give 'em a pretty generous margin, like 40% -- so if you have a retail of $14.95, sell 'em to the store at like $8.50 or so. Then check back in every so often and see how their stock's doing, and if they need more. Give 'em quantity discounts too -- so, single-copy price might have a 30% discount, 5+ would be 40% off, and 50 copies or more would be like 60% off. Or whatever numbers you decide are fair. Just do whatever you can to get in the store in the first place.

Lastly, pimp the living heck out of your product, and make sure that everyone knows that local store so-and-so carries it, so they'll buy it from them. Sure it's nice to sell individual copies at retail, but it's oh so nice when an order shows up for 10 or 20 or 50 copies all at once to a store! Put website banners up for their store. Offer to sign copies or have the cast & crew make an appearance at the store, whatever you can do. Get interviews in the newspaper, and be sure to mention to the readers that they can get your disc in the store, etc. etc.
 
We used to sell our band's (80's Industrial!) tapes (and eventually CDs) like this. Give the store a cut, and put it in a nice box so they'll put it near the checkout counter.

Large chains (HMV, etc) would gladly put our CDs and tapes in with their regular stock. Gave them "street cred".

I don't see why this wouldn't work with DVDs.
 
You can just wholesale to the retailer, usually at 50% of selling price (14.95 DVD you sell to the retailer at $7.48) or leave them on consignment (leave them 5, check every week, and pay them a 10-20% commission on any sales). If they want to make more than 10-20% commission, they need to step up and just buy the DVDs with no return privileges (except for defective disks). Either way, you need to come up with promotions and such.
 
I wanted to put my $.02 in. Everything that has been said is correct. I used to own a few retail stores an both a consignment or a discount method is aceptable. The consignment is better for the store because no upfront mone on their end. Since they take no risk they shoud get less of a commission. However if they purchase the dvd from you wholesale then they put their money at risk and should then get a bigger discount. at your beginnin level you dont need a contract. give them 5 and some display collaterl. if you sell 5 then depending on that response you can star over with new prices or arrangments. If on the very slim chance you lose 5 and dont get paid then so what you only lost the cost to produce times 5. Good luck. I have thought of this method myself. im going to post my next idea next
 
I think you should take the guy up on the offer to sell your product free of charge. It would be rude to come back to him and say hey I want you to buy 10. He has made a generous offer, it will take him time and money to sell your product and the only reward he seeks is your success. You could try other arraignments at other stores. See what works best for your product.
 
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