12 Most Common Mistakes
- Failing to do proper due diligence on the viability of your business idea.
- Miscalculating market size, timing, ease of entry and potential market share.
- Underestimating financial requirements and timing.
- 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.
- 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.
- Over-projecting sales volume and timing.
- 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.
- 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.)
- Seeking confirmation of your actions, rather than seeking the truth.
- Underestimating (or not knowing) the true cost of doing business with chain retailers.
- Making your initial sales call without taking a retail expert or someone with extensive accounts knowledge with you.
- Lacking simplicity in your vision. What’s in it for the retailer and consumer? How is this new or different from existing products?
