(This post was last modified: 02-16-2023, 03:55 AM by dominicr.)
(02-15-2023, 04:18 PM)Marko Wrote: I think the thing we need to keep in mind is that despite shaving being a worldwide practice, the “artisanal” wet shaving market is a niche market. I think for that reason in a large part the artisanal market demand is relatively inelastic - so is the general shaving market because while market conditions may lead to a general cutback in spending it like won’t lead to an explosion in growing beards for economic reasons. I also think the niche market will grow particularly on the younger end of the demographic. There’s more young potential wet shavers every day while sadly, albeit naturally, my end of the demographic is shrinking. More old guys might discover or rediscover wet shaving every year but the reality is that more of us are falling off the branch every year as well. Make sure you make provision for the distribution of your wet shaving accoutrements, particularly if you’ve got items of significance or value or even if it’s just run of the mill stuff. It’s cool to have and use your dad’s or your grandad’s shaving stuff. Even if it’s beat up and gross, it can always be cleaned up and restored.
I saw an item on the news that Amazon is now taking as much as 50% if its merchants' sales. I’m not clear if it was sales, profits, margins or what but my first thought was holy mackerel! Is what they’re doing for merchants really worth that? Why not get a shopify account and get at it? I know there’s fulfillment etc but there’s got to be a better way that allows more of the profit to stay with the person who created the product and risked their capital.
So that's how you describe it? "Falling off the branch." I got a chuckle out of that one.
Yes, I can attest to the fact that Amazon does take a HUGE chunk. We pay them 3 ways.
1. A percentage sales commission
2. Fulfillment By Amazon fees that covers, shipping, customer service, and storage.
3. Any advertising of our products or brands in the Amazon universe. It works with keywords sort of like Google Adwords.
It is the cost of the EYEBALLS on your product. They can ship WAY cheaper than we could ever hope to and it is nice to send cases of product to them and they distribute. The one thing we don't like is we sometimes get blamed for stuff that Amazon actually did. We got a 1 star scathing review because the customer got a "used" puck of soap. That's not supposed to happen, but someone in the chain put a returned puck back in to the warehouse. We got another bad feedback because the customer was fed up with the Amazon drivers bringing packages to the wrong door of his house. Overall though there's plenty of 5 star reviews to offset those.
We have a website, but the choice becomes spend the money to market and drive traffic to the website or go where the volume of customers are. People are already on Amazon shopping and with a huge portion of the population on Prime, well you know our answer.
Keep a lot of a little or keep a little of a lot. That's the choice we make.