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Retail Terminology Help Needed...
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Greg M
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I have been looking forward to sharing the story of my R8 that recently turned into a licensing deal…however, I kind of want to see it on the shelf first…I have horrible luck and don’t want to jinx anything….anyway, the contract is ratified; I ended up with a nice advance and a royalty % that is very fair……

Currently, I am very reserved in my correspondence with the company; I do not want to become a “bother” and understand some of this retail jargon is going to be over my head….I was told in December that the product got in on the latter part of the 2012 “presentations” but… that one of the very big retailers has already placed my product in “ROUND ONE” and that basically this means the product will ship in June as long as they do not cancel before mid-February……This is alien speak to me….What is round one?….How often do orders cancel after being given the round one nod? I was told that it is pretty much on cruise control barring a cancel order…..This retailer is one of the big 3 so I am assuming this is good news? Apparently once we hit mid-February, there is no chance of a cancel as it is too close to a large volume ship date….Does anyone have any retail buyer experience with big boxes?..Round One? If there is no Round Two, then why call it Round One? Why am I feeling stressed?…..The product must be on the shelf by September so things are moving fast….

This will be a fun story to share and EN was a big part of giving me the confidence to move forward….A G7 from EN should mean POTENTIAL to each and every inventor here……Roger Brown was also a big help….more on the details later…..for now, just looking for any help at all with the terms and retail buying cycles…..

Thank you…

posted January 13, 2012 19:38 (
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Don McCammon

Emily – you sound like a great resource – thanks for the offer. I have two or three recent R-8s. So I’m trying to figure out where to go next. Greg’s success is certainly inspiring. I am a real believer in the axion – “if you want to succeed, you have to fail more often”.

posted January 14, 2012 10:25 (
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Betsy .
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Agree again! And look above your post Michael at Emily’s post. Emily’s a great source of info.! That’s what’s so amazing about these EN forums, such a great group of different skill sets, and people who are so willing to help!

posted January 14, 2012 09:37 (
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Michael Heagerty
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Nice work Greg! Look forward to your continued progress as well!

Thanks for the video Pete…some how that one had eluded me. Great info.! Thank you Dave and EN!

posted January 14, 2012 09:16 (
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Emily C
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Congratulations Greg! It is great when someone understands that just because it didn’t make it in one search does not mean it is a failed product, it just hasn’t had the right home yet.

Regarding your retail question on line reviews and such, let me know if you still have questions and I will do my best to help you. I’ve been worked with many of the big box retailers and other chains and presented both new and existing products. (My day job is in Brand Management and I’ve created and launched products in both Fast Moving Consumer Goods (FMCG) and the beverage industry at places like Target, Walmart, Walgreens, and other large chains. So I’m familiar with the processes and frustrations of line reviews and shelf sets and margin models and other concerns.

I’ve been off the boards for a while as I was ramping up in a new position as well as trying to revisit a side business I have, but am working my way back now, so forgive me if my response to questions is not especially prompt.

posted January 14, 2012 09:10 (
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Linda Skaggs
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Thank you Greg, I all ways keep researching and trying for new contacts, I am glad to see that it worked for you.
Great video link, EN…. very informative

posted January 14, 2012 08:53 (
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patricia herzog-mesrobian
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Congratulations Greg this is absolutely awesome news and thank you so much for sharing it with us. A long awaited Victory!!! It will be great fun to follow your progress.

Pete, great link, you are a wizard in finding us all these good references… I agree Betsy a EN Must See!

posted January 14, 2012 08:32 (
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Greg M
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Hi Linda!
My R8 took place well before they came out with the licensing program…..Once the big X came down…with no relevant searches at the time, I opted to go it alone….made some progress and was almost signed when things came to a screeching halt….then EN came out with the Licensing Program…so I hopped back on board…..then…..just after I submitted it -—-you guessed it…..things cranked up again with the manufacturing/distribution company……and a contract was ratified a few weeks later….I don’t think EN had enough time to really pursue it before I withdrew it….perhaps they could have also found a home for it…..When I look at all of the relationships EN has in place, with more added every week, I would definitely consider their licensing program as my first choice….They have the Rolodex…..the direct lines to the eyes and ears that can turn that R8 into a G8…While they are working to find you rproduct a good home, nothing says you can’t also be working in the background, researching contacts and companies, etc…..If EN is unable to make a match you are ready to move forward……Just my opinion..I am sure that some inventors may have products of a more urgent nature, unique circumstances, etc. that would dictate a different strategy…..but this place does seem to be building momentum with each passing month :)

posted January 14, 2012 08:22 (
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James Chapman
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That was a GREAT video. I will watch it again and write down a lot of those points. It is a bit long but packed with information from beginning to end… Thanks Pete & Thank you EN… (Daniel & Dave)!

posted January 14, 2012 08:14 (
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Pete Goncalves
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Very glad the video link was useful! …there’s some good stuff in the E.N.Video section …would love to see EN-Headquarters add some more behind the scenes stuff.

posted January 14, 2012 07:53 (
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Betsy .
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I’ve never seen that video either Pete! Nice find….it should be called ‘Must See TV’. Very informative. I also loved looking at cutaway shots of Dave’s office! Greg, so excited about your product! Can’t wait to go into a store and buy it!!!!

posted January 14, 2012 07:49 (
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Linda Skaggs
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Greg, did EN help with the Licensing deal? I understand that after you get a R8 they can put you into their licenisng search department, is that what happened or did you find the deal on your own? I ask because I am also an R8 and have been told for the next 6 months they will help look for a licenising deal for me, I wondered if I should still be shopping outside ventures? advice any one?

posted January 14, 2012 07:48 (
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Greg M
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Thanks everyone.
Pete, I had no idea that video was in there….just watched it and learned a ton! Never thought about it like that…no matter how great we think our products are, as a new introduction there IS some measure of risk….no one has a crystal ball and knows if it will perform, and I bet many of these buyers would tend to lean conservative when it comes to something completely new….I would imagine they are judged as far down as profit produced per square inch…those numbers drop and they could be looking at the unemployment line…great stuff. Thank you.

posted January 14, 2012 06:13 (
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Mark Pannek
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Greg
Awesome. Congratulations to you… This is huge!!! And Kudos to Roger for helping you… Very kewl all the way around.

posted January 14, 2012 04:29 (
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David .

Got to say great video link Pete, Process was well explained by Dave Campbell interesting Guy.

posted January 14, 2012 04:24 (
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Pete Goncalves
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Much Congrats Greg! …so much about the process and possibilities in the retail world that I’ve yet to learn about, so it’s great reading stories like this, along with the great community advice given. Excellent.
Wishing ya much success!

My first ever intro to the topic of retail ‘Planning Cycles’… ‘Line Reviews’… and the importance of getting in sync with the retail process was from an EN video by staff member Dave Campbell:
http://www.edisonnation.com/video_categories/ar...

posted January 14, 2012 02:07 (
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Margaret Pryor
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Greg,

That’s so exciting and inspiring! I can’t wait to hear more!

posted January 13, 2012 22:55 (
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greg bruce
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WOW! Greg that is some of the best news I’ve heard in…hell I can’t remember when I’ve heard such good news! I wish I was there with you to buy you a shot of something.
Are you saying you negotiated an advance against royalties? NICE NICE JOB!! Keep us informed! I think I just caught my second wind. Thank you.

posted January 13, 2012 21:33 (
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Greg M
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Thanks for the feedback – I really appreciate the input…Makes sense to me.
It is indeed a seasonal product Chris – good info!
I like your thoughts Carla – this is just round one of……many! :)
Chris where in VA. are you? Is that surf in your photo? VA Beach?
I do owe Roger Brown a big thank you…He suggested I go straight to the biggest player in the segment…straight to the manufacturer/distributor – logic being they already have the big box retailers as customers….convince them, and they will sell it to the retailers through their channels…15 months and 2 significant revisions later….
Have a good weekend-

posted January 13, 2012 20:42 (
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Carla H
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Greg, excellent news there, congrats! I’m not sure about the rounds, but I am wondering if it means a major shipment, then they see how well it sells and then maybe they produce another round/shipment for the store(s). In any event, I am so happy for you! WTG!

posted January 13, 2012 20:14 (
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Chris Brown
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Hi Greg, and Congrats! I have some experience with retail buyers at THD and Lowe’s.. We have several line reviews with these companies at various times of the year, some products will make the first cut and then others the buyer will ask us to tweek, this sets the stage for round two. We may have up to three line reviews before a lineup is finalized for the following year.

If your product is a stand alone product they may reveiw it with other like products for distribution purposes so they can distribute cost effectively. Because your product will likely end up in a large distrubtion center until it is released to the stores they maybe seeing how long they can afford to sit on the product for round two if it is a seasonal type product.

Hope this helps.

posted January 13, 2012 20:14 (
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Eric McCoy

Greg, congrats man!! That is huge news and a very admirable accomplishment. After your anticipated success maybe you can share how you broke the barriers and secured a deal on your own. Pretty impressive my friend! Even more so that you’re practically in my back yard! Congrats!!

posted January 13, 2012 19:59 (
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