?

What is the going rate for a rep?

I assume reps do not work for commissions only. On average what is the typical monthly cost to hire a rep?

Please sign up to comment

Hi Clarence,

How reps are compensated will vary depending on the type of product and category it’s in. A rep might work solely on commission of the product or brand is well established. Often times though, if it’s a new product or program, there’s a lot of upfront time and effort required to get things going and the rep will want to be compensated while they help get the program ready for their specific buyers and their ongoing efforts.

As to a specific amount, its entirely up to the rep and brand/client to come to an agreement that makes sense for everyone. If you hire the right rep, you should get the benefit of an experience sales manager at a fraction of the cost.

Thanks Drew
This was very helpful. My product is new to retail so I will do my complete homework before I decide on a rep.

Thank You
Clarence

Red Roo Gear

Redroo Gear llc

In the specialty food business independent reps like me are commission only and don't get a fee for "pioneering" a new product. Sometimes reps work solely for one company and are paid differently, salary plus car allowance.

Hi Lorrie, would like to talk with you about my product to see if there is any interest. Who can we communicate?

Carl E. Schlacher

Schlacher & Söhne

What exact fee's are involved when a rep is selected to work on my product?

Rhonda Nordlander

Artdigenous Reproductions

I think this is really an example of "getting what you pay for". There are reps that work for commission only and others who act as consultants, as well as, sales people. If you are a start-up and you want more from your sales partnership, then I would consider researching and discussing your expectations with your prospective sales candidates. We've provided consultancies for multiple vendors and it works well for both parties. The vendor gets extra attention and the sales professional is able to craft the program to the specific needs of the manufacturer based on the feedback from their retailers.

Hi Tom
Would you be interested in hearing more about my product?
Thank You
Clarence

Red Roo Gear

Redroo Gear llc

Depends on the product being where the product is shipping out from, what being sold and volume. There are a few things that go into that.

We, at Dynamic Marketing , have never charged a monthly rate for our services. in 29 years. We have received an initial fee to take on a supplier that has been applied to future commissions we will earn with that supplier. Our commission rate has varied from 15% - 3% depending on the industry : if the order was a direct factory shipment from overseas : if the account was so important to obtain the order we had to work very , very tight on pricing.

Hi Jimmy
I appreciate the detailed response. Would your company be interested in representing my product?
Thank You
Clarence

Red Roo Gear

Redroo Gear llc

The going rate for gift rep agencies is 15%. The supplier also pays for showroom space. If you are new to the industry there are many rep principals that work with newer companies and help them learn the ropes and even help with product development.

Welcome! We’re helping each other get products to market and sharing our stories.

Join us!