I recently read a passage from a book that talked about knowing and avoiding your ‘sinkholes’.
Sinkholes are areas in our business where we are missing the mark — especially concerning dealing with customers. I found this nugget in a book called Rising Strong by Brene Brown, PhD., LMSW. Although the list of sinkholes is directed at the coaching/consulting business, I translated them into product-based business tips. Here is my revised listed based on the description given to Brene Brown from a client named Andrew.
Don’t Fall into Brene Brown’s sinkholes 
- Emotional blinders: So emotionally invested in working with a particular store or buyer that you are blinded to the fact that you are offering too many perks, freebies, and incentives. While extending introductory offers and incentives to first-time buyers is great, it is important to check your figures to make sure you are still making a profit. And you offer the same deal to all first-time buyers.
- The loss leader: Related to point #1, don’t offer such a big discount on special volume orders where you are losing money!
- Uncharted territory: Going after business in a category or niche where you have no experience. If you decide to expand your product offerings to another niche market, make sure to do your research on the potential buyers, their stores, and their end consumers.
- Win at any cost: Bending over backward to sell to a certain buyer even when it is not in your best interests. Your self-worth as a person or business is not tied to how much you sell — especially if it is the wrong market.
- Defensive pricing: Unless you are Walmart, don’t try to compete on pricing! Look at your costs, develop your approximate pricing, and check out your competitor’s pricing. You want your products to be within a similar price range within your market, but you don’t necessarily need or want to be the cheapest!
If you are struggling with your own ‘sinkholes’ and need help from a seasoned professional in the trade, you should check out my 1-on-1 Wholesale Business Coaching/Consulting services. I would be happy to book a session with you to assist you to move forward in your business!