Vendor Markets: A retail venue for crafters

Some things to consider when looking at vendor markets:

What is the rent/per square foot? Does it change with the length of the lease? What is the minimum lease period, and booth sizes that are offered?  As a crafter, you need to make sure the rent is in line with your price point. For example, someone selling handmade cards at $3.00 each might struggle to make a $400.00 a month rent payment, and still be profitable.

What is the average number of tickets per day? And average sales dollars per ticket? How does the shop owner promote the marketplace? Is there an actual advertising plan, and what does it include?  Do they feature vendors in advertising, or do you have to pay a premium to be advertised? Do they have a web site, and social media, and do they leverage these to promote the vendors in the marketplace?

How many vendors are in the market, and how does their product mesh with yours? Are the vendors in the market primarily resellers or handcrafters? Are there already vendors there with product that is similar, or even the same, as what you plan to sell? Sometimes another vendor or two with similar products are a good thing. Ten vendors with your product would not be a good thing.

What are the fees and commissions the marketplace charges? Typically, commissions range from 7-10%. Often, vendor markets will charge you extra for credit card transactions.  You need to be aware of these fees so you can price your merchandise accordingly. Also look for a shop that has the best commission rate in relation to the traffic. Clearly a 5% commission rate won’t do you any good if there is not enough traffic to sell your product!

Another nice offering in a marketplace in online vendor access. Some vendor markets have software that will allow vendors to log in and see what they have sold. This is especially nice if you don’t live in close proximity to the marketplace; you will only have to stop by when you know you need to stock up. It also helps with budgeting, because it allows you to know what your next pay check will be, and you can get orders in, if needed.

The last thing to consider is just how busy you really want to be. If you are looking for a hobby-level outlet, where you have time to craft when the mood hits you, then don’t go into the biggest, busiest vendor markets in town.  Conversely, if you want a real revenue stream, you need to find the busiest shop you can, and commit to keeping up with inventory and demand.

The best thing about being in a marketplace is that your customers have a place they can find you. Repeat and referral customers will make you a successful crafter, and having a brick-and-mortar year-around venue can help you connect with them!