With over 18 million customers, Lowe’s is one of the largest home improvement stores in the United States. If you’re a manufacturer or retailer of home improvement products, selling on Lowe’s can help you reach a larger audience and boost your sales. Also, as a Lowe’s seller, you’ll benefit from the store’s nationwide marketing campaigns and partnerships with other businesses.
This guide will show you how to start selling on Lowe’s, from creating an account to listing your products. We’ll also include optimization of your listing for organic visibility and more. Let’s get into it.
Why Sell on Lowe’s?
Lowe’s is an e-commerce platform that was founded in 1946. It is one of the largest retailers of home improvement goods operating in around 1800 countries, including Mexico, Canada, and the USA. The company focuses on the retail sales of home improvement appliances and goods.
The most significant hardware chains like Lowe’s and The Home Depot do not only operate on a national level, but also a global level. Lowe’s generated almost $59 million in revenue from products sold during 2015-2016. The product range of Lowe’s is over 40,000 in stock, and nearly 500,000 online items are available.
This indicates a huge opportunity for sellers to sell on Lowe’s. Many businesses are already on it and getting a good profit. Lowe’s is one of the trusted platforms having an excellent reputation among customers. You cannot achieve all these things on your own.
Also, Lowe’s provides complete security to its customers and businesses. It also focuses on customer services, satisfaction, and other aspects of your business.
6 Steps To Sell on Lowe’s For Beginners
You might think that selling at Lowe’s is a complicated process. We will mention a few details about selling on Lowe’s to make it easy for beginners.
1. Start Appropriate Questioning
It is essential to figure out what you sell at Lowe’s, and after figuring it out, you need to inquire about a few things. Once you start selling at Lowe’s, you must ask yourself some questions. Here are a few basic questions:
- Is the product you’re going to sell in demand?
- Or do you’ve to build a demand for products in demand?
- Would Lowes be interested in selling your product?
- Can you handle the production volume if you can strike a deal with it?
- Do you want to sell directly to Lowes?
- Do you want to License your product to a manufacturer that will handle distribution?
2. Prepare for Yourself to Profit
Does your product achieve the margin of profit for Lowe’s? Can you sell your products with the profit you’ve spent to cover the marketing, commissions, packaging, and wholesale distribution? Also, you need to check the guidelines of Lowe’s for the others expenses that you’ve to bear and build into the cost of your product. To be able to attain your target profit, make it worthwhile.
If you work with a discount retailer, you can’t achieve your target profit. Moreover, the gain will strip down to zero to keep the product low as possible.
For instance, the typical margin of the profit breakdown is: if a product costs 1$ to produce, the retail price will be $4. The product that’s retail price is $4; the wholesale price will be $2 for the distributors and retail stores that direct purchase.
Big box retailers, including Lowes, may offer to pay $1.25 to the manufacturer if the product costs $1 to produce. That’s the typical margin of the profit.
3. Is Lowe’s The Right Store For You?
The relationship between you and the store begins when you start browsing the Lowes store for competing products. If Lowes already has a similar effect in the store, it’d be difficult for your product to make its way. It’d be better if you spend some time analyzing at local Lowes to see the type of products others are selling. Talk to the manager and see whether your product can sell well in the Lowe’s store.
Remember that the most crucial part is to provide a picture of which zone your product would fit perfectly on the shelf. Keep this in mind while preparing to present your product in the store. If you are women who want to run a store, check the store’s website and check if they are offering any specific programs.
4. Picture Your Product On Lowes
Before pitching your product on Lowes, you should understand whether you or your representative will be the one who presents your product in the store. Your presentation is entirely dependent on your business skills. Also, it depends on your strengths as a small business owner, as they’ll most likely ask logistic and financial questions.
Usually, companies hire brokers to present their products on eCommerce platforms like Lowes. There is a high chance that your product will achieve a more elevated stage if the representative of your product has excellent business skills and industry knowledge or if he has personal relations with Lowes. The commission you give to the broker is usually around 5% to present your product in the store.
5. Complete The Needed Lowe’s Paperwork
Sometimes, eCommerce platforms like Lowes require you to go through some paperwork. However, before submitting any documents, you should contact the buyer at Lowes and must tell them about your intentions. Getting to decision makers inside the company will move your application smoothly and conveniently throughout the process.
6. Understand the Need For an Increase In Volume:
If Lowes confirms the agreement of approval to stock your product in the store, it means a significant increase in the volume. It’d be better to inform your manufacturer about this chance and be prepared to raise your production.
Remember that distribution, logistics, and production are pretty daunting tasks. These all things not only need investment in terms of money but also require to invest lots of your time in customer relations. Moreover, Lowes may have obligations in the agreement you sign that the store may ask for a penalty for delaying shipping and production.
That’s why before signing, a solicitor should explain each and everything of the contracts to you if you find some difficulty in understanding them.
How To Get Recognized And Serve As A Supplier On Lowes?
If you have a product that you consider perfect to be pictured on the Lowes shelves, then you need to follow a few instructions.
1. Submission for Product Approval:
After analyzing the product that it’d be perfect for presenting on Lowes, the second thing you need to do is to submit the product for approval.
For selling, you’ll have to submit a request for your product approval. You need to follow a few instructions to increase your submission and enhance your chances of gaining product approval.
- Include a brief product description that comprises the benefits of the product.
- Include some clear and excellent pictures or illustrations of the product.
- Speak of the product pricing and information regarding ordering.
- Attach other details or documents that highlight the product’s commercial interest.
- If you have some reviews from previous customers, you must include those testimonials.
- Make sure to show your product packaging to show how your product looks.
- Share your contact information and website.
Remember that your goal is to convince Lowe’s of how they’ll benefit by carrying your product on the store’s shelf space. It also shows how passionate you are about your relationship with their company and the efforts you’re making for marketing on their behalf.
2. Understand Their Requirements For EDI
Lowes is one of the largest eCommerce sites for home hardware and furnishings retail buyers. To be an excellent supplier of this eCommerce store, you need to transact vital business documents through an EDI process.
Most of the big-box sellers of the eCommerce platforms like Lowes have their unique set of different requirements to meet the policies of EDI. It is essential to make sure that you meet those requirements. If you ensure this, then the chances of getting approved are higher.
It is complicated and confusing to set up EDI. If you don’t do it correctly, you might face heavy chargebacks from Lowes for failure to transact business documents effectively.
Also check: How To Get Started Selling On eBay
FAQs
1. How Much Does It Cost To Open A Lowe’s Retail Store?
To open a Lowe’s store, you must have a different budget for various stores. The standard Lowe’s store measures 116,000 square feet, costing you around $17 million to build and another $5 million for stock. The average sale price of that store is approximately $33 million per anum. The new store cost about $12 million to build and $3.5 million for stock.
2. Does Walmart Own Lowe’s?
The answer to this question is simply no. Lowe’s has no affiliation with Walmart. These two companies are entirely different from each other. However, both stores are the major retailers in the world.
3. What Types Of Products Can I Try Selling On Lowe’s?
Lowe’s offers a wide variety of products across many different categories, so there are numerous opportunities for sellers to find success. Some popular categories include home improvement, hardware, appliances, and tools.
4. How Do I Know If My Products Will Be Successful At Lowe’s?
The best way to gauge whether your products will be successful at Lowe’s is to look at the demand for similar items in your category. If there is a high demand for products like yours, you stand a good chance of making sales. Additionally, it’s important to make sure that your prices are competitive with other sellers in your category.
5. Do I Need To Use A Third-Party Shipping Provider To Sell On Lowe’s?
No, you are not required to use a third-party shipping provider to sell on Lowe’s. Still, using a third-party shipping provider can save you time and money by handling the packing and shipping of your orders.
6. What Are The Benefits Of Selling On Major Retailers Like Lowe’s?
Selling on a major retailer like Lowe’s gives you access to a wide audience of potential customers who are already interested in purchasing your products. Additionally, Lowe’s offers a variety of marketing and promotional tools that can help you increase visibility for your products.
7. Can I Sell My Products On Lowe’s If I Don’t Have A Website?
Yes, you can sell your products on Lowe’s even if you don’t have a website. However, it’s important to note that having a website can give you a significant advantage in marketing and promoting your products. Additionally, customers can learn more about your small business and what you offer if you have a website.
Conclusion
With Lowe’s, you can start selling your products online quickly and easily. It can be a great way to reach a wider audience for your products. You can start reaching new customers and making more sales with little effort.
Whether you’re a small business or a large corporation, starting with Lowe’s can be a great way to expand your customer base and increase sales. Follow the steps above to get started selling on Lowe’s today. You can be up and running in no time.
Be sure to check out our other e-commerce guides.
