12 Most Common Mistakes

  1. Failing to do proper due diligence on the viability of your business idea.
  2. Miscalculating market size, timing, ease of entry and potential market share.
  3. Underestimating financial requirements and timing.
  4. Hiring for convenience, rather than skill requirements. Caution: Friends and relatives might be less expensive, but they probably do not have the right expertise to help you in a very complex CPG environment.
  5. Hiring random brokers for accounts without a national plan. Use a master broker, hands-on consultant or experienced VP of Sales in the CPG industry.
  6. Over-projecting sales volume and timing.
  7. Starting out on your own, without a CPG retail expert. Relying strictly on your product knowledge and your other business experience is not going to work out well for most. This is a specialized field.
  8. Approaching the retailer without the ability to explain your research, marketing plan and business proposal. To do so is just asking for trouble (e.g., pay with scan.)
  9. Seeking confirmation of your actions, rather than seeking the truth.
  10. Underestimating (or not knowing) the true cost of doing business with chain retailers.
  11. Making your initial sales call without taking a retail expert or someone with extensive accounts knowledge with you.
  12. Lacking simplicity in your vision. What’s in it for the retailer and consumer? How is this new or different from existing products?