For the vast majority of start-ups, possessing the required finances to order supplies and equipment on an economic scale proves to be a real struggle. With many manufacturers offering minimum ordering quantities that are far above what is feasible for these businesses to afford, their ability to maintain a healthy unit profit is constantly under pressure.
For most businesses, the cost, as well as the availability of their supplies, determines many crucial factors of a successful operation, including profitability, prices, funds available for other business activities and more.
At Guardpack, however, managing director Jeremy Freedman offers order quantities as low as 2,000 units of either individual or multipack wet wipes and sachets. Here, Jeremy has explored how low-quantity ordering such as this makes perfect business sense for many small and developing businesses.
Economically enhancing your businesses’ profile
When starting out, one of the key obstacles that any small and developing businesses has to overcome is its significantly inflated overheads. Particularly within the first year of operation. Balancing these can prove to be a challenge that will either make or break you; with a lack of credibility, presence and trust all limiting your businesses’ ability to do so. Establishing a strong brand presence and reputation in your specific industry is a crucial step in achieving these aforementioned associations and cementing your position within your respective industry.
Within the cosmetic or beauty industries, in particular, one cost-effective method of doing so is the branding of products such as individual wet wipe sachets. Adding a professional touch to your product can not only help to add a touch of sophistication, but also significantly enhance brand recall and awareness. With 88% of customers claiming that they remember businesses that offer some indication of their brand upon their products, this is something that should be prioritised.
Testing the waters
When looking to release a new product, there is only one opportunity to make a first impression to your audience. The outcome of this - however positive or negative - can shape perceptions of the launched product, future launches and the overall brand itself.
With the limited resources available to small, developing enterprises, rolling out your product to poor reviews and disapproval may prove to be the breaking point, with many starting brands not able to recover their image and reputation.
That’s why, when looking to release a new product range, trials and samples provide the ideal opportunity to gauge the scope of customer reception. Not only can this help to identify areas to adapt and improve, but also provides you with a low-cost opportunity to get your brand out to your desired audience.
Keeping costs down to a minimum
Despite it historically being much cheaper to manufacture or import from outside the UK, the cost – and the risks involved in doing so - has skyrocketed in recent years. Not only do you now have to deal with increased customs duties and import taxes as a result of Brexit, but also emerging issues such as border delays, which have significantly increased the complexity of operating internationally.
For smaller businesses, in particular, maintaining a reliable supply chain is essential, as the majority are reliant on cash flow to function efficiently. That’s why, currently, it is much safer to buy from a British manufacturer, not only to help reduce logistical costs, but also maintain a much higher degree of safety and security.
Following the rules
For many smaller businesses just starting out, the desire for quick profit can create temptations to cut corners when it comes to product quality, or regulatory compliance. Within the cosmetic and beauty industries, in particular, the various safety requirements are growing in severity and failing to fully comply can result in considerable financial and legal consequences for your brand.
With limited funds, time, and perhaps knowledge available to you as a small business owner, keeping up to date with the everchanging legal requirements may prove to be a disconcerting prospect, with the threat of incompliance constantly looming over your head. By working with a specialist manufacturer, however, these issues can be circumvented.