{Tiny Flag Banner from bigDAY on Etsy}
I always recommend having multiple revenue streams.
I don’t think it’s smart that your long-term business plan only include something like selling on Etsy or selling your products on your own website. Why? What if something happens and that one revenue stream starts to dry up? Then, you’re gonna be in a hot mess of trouble.
Instead, set yourself up for success by having multiple revenue streams. It depends on what type of business you have, but if you sell jewelry, you could: sell on Etsy, have wholesale accounts with 5 boutiques, sell at craft shows, and teach a monthly jewelry making class. If you sell aprons, you could: sell on Etsy, sell on your own website, have 3 wholesale accounts with cooking stores, and sell your patterns.
If you’re looking for another revenue stream, consider hosting a party where you sell your stuff.
{Poms from POMTREE on Etsy}
Here’s How It Works:
1. You want to make sure that you know people who are in your target market. If you don’t, then this revenue stream won’t work well for you. So, make a list of your friends, family, and neighbors that might be interested in buying your products. If applicable, include your knitting group, book club, church community, coworkers. Do you think you could get at least 25 people to your party? If so, keep going.
If not, do you know someone else who sells handmade items that you could pair up with? For instance, if you sell jewelry and you know someone who sells handmade clothes, you could work together to plan a party and both invite people.
2. Decide on a date and time you think would be convenient for most people. Try to set a wide time frame, so that people can drop in as they like. For instance, you could host it from 3pm-9pm on a Saturday and encourage people stop in whenever they can.
3. Make sure that you have enough inventory. You want to have a lot of variety that people can choose from—and you definitely don’t want to run out. This is another great reason to pair up with one or two more people who also sell handmade items.
4. Pick a couple things to give away as door prizes. For example, if you sell handbags, you could give away 2 mini-totes during the party.
5. Send out invitations. You can make this really simple by sending out invitations via email. This way you won’t eat up any money on stationery—and you can invite a lot of people.
Make sure that you include pictures of your door prizes and announce that’ll you’ll be giving away door prizes on your invitation. It’s another incentive to get people to come.
Also, I recommend serving simple appetizers and refreshments and including that these will be available on the invitation.
6. Ask a friend to help you out on the day of the party if you’re hosting it alone. You’ll want someone to help refill the ice bucket when you’re making a sale, someone to collect money while you talk to other customers, and someone to watch over things when you need to head to the bathroom.
7. Practice your set up. You want to make sure that your stuff is the star of the show, so you want to spend a lot of time on your set up just like if you were selling at a craft show. If you’re hosting the party with someone else, invite her over and do a mock set up together.
Ensure that there will be enough room for people to move around, mingle, and sit down. People will stay longer if they are comfortable.
8. Send out a reminder email the day before the party. People get busy—so you want to remind them to stop by your awesome event.
9. On the big day, set up, get gorgeous, and get excited. And, then have fun and make some money.
{Garland from Paper Polaroid on Etsy}
Extra Tips
1. If you run out of a particular item, don’t sell the last one. Instead, take orders for that item.
2. Even if you think you’ll have a lot of people come to your party, do it with a friend or two. It makes it more fun and less stressful when you share the responsibility.
3. If you’re running low on business cards, order more well before the party. Make sure each person who stops by leaves with a business card even if she doesn’t buy anything, because she might buy something later.
4. Have a notebook available for people to sign up to receive your email newsletter where they can get more information about your business, announcements of new product lines, and discounts.
5. Put together information packs in case some of the attendees want to host a party where they sell your stuff. Of course, you’d be there as well—but they would be the ones to plan the party, invite their friends, and provide the refreshments.
You should offer people incentives for hosting a party. For instance, you could give your hostesses a $50 gift certificate for your products just for hosting the event. And, give her $10 more for every $100 that you make from her party. That way if you make $1000, you’re hostess will get an additional $100 to spend on your stuff. If the hostess knows about that incentive, she’ll be more likely to get as many people as possible to the party. And, it sets it up to be a win-win.
6. Pick your party date strategically. For instance, you could host your party a couple weeks before Mother’s Day to encourage people to buy their Mother’s Day gifts at your party.
April, these are great tips. My Mom loves to host parties with her nurse friends and it has been interesting to see how the parties change as they age. Now they tend to shop for their grandchildren so people need to not forget about that demographic!
Definitely Erika! If you sell children’s items, you want to invite parents and grandparents 🙂
I hosted a party about a week and a half before Christmas! Talk about down to the wire. I had a lovely friend volunteer to make it happen. She helped with food and set up. She needed some Christmas presents herself so she had a motive! I nearly bowled over my first guest with enthusiasm. Luckily she was an understanding friend. I was fortunate to have the display setup in a spare room and left it up for a couple of days. A few friends who couldn’t make the party stopped by the next day.
I invited some local Etsians who, because of short notice, couldn’t make it but said they’d be interested another time perhaps. I had another jewelry artist’s work whose craft is very different from mine. It worked out well! I was nervous but it was so fun and rewarding to have positive feedback and good sales.
I think everyone should try this. Obviously it’s much easier than a Craft Show or Bazaar. Consider the food investment an exchange for the table fee. Great Post!!!
Thank you for sharing your experience Kristin! And, I love the tip of considering the food investment an exchange for the table fee–that’s a great way to look at it.
I forgot to add that I gave the friend who helped out a gift card to her favorite coffee shop as a Thank you! That made her day!
Thanks for all the great tips! I’m a jewelry designer who has hosted LOTS of parties, they’re always fun and a great way to reach your target market. I like to keep my parties short, 2-3 hours at the most. If you know you have clients that will show up, this gets them all in the room at the same time. The buzz really starts to get going and they actually start selling each other on your product! Plus it minimizes the time you’re twiddling your thumbs wondering if anyone will show up!
Thanks for adding that Lindsay…I didn’t think about the positives of keeping the parties shorter, but you make some great points.
I sat down to think of alternative methods of income after reading your post.
Did you come up with any?
Yes I did come up with a few. It’s a bit more difficult in a rural setting. I can offer lessons for all the things I do. I could also do fiber fairs (i already wanted to do this) that would require the hubs being home with the farm. I also could start offering some other items(not sure about having enough time for this thought). I used to make all natural: soap, bath and body stuff, along with a few naughty delicacies. I don’t know if this would be feasible though.
That’s a really good start Brandi.
I would try to brainstorm things that don’t add so much to your plate. For instance, having an entire new line of products is a lot of work. But, selling what you already make in different ways {such as the fiber fairs} is much easier.
If you offered lessons, you could tape them, and then sell the taped lessons for less. That way, when you do something once, you get paid for it over and over. Or, you could write up some of your tips and techniques and sell it in a downloadable PDF.
Just some more things to think about 🙂
I hadn’t thought about taping for sale. I already am doing some video tutorials..Thanks so much.
I never would have thought of this. What makes it an even better idea for me is that I know there is a potter and goats milk bath product maker right near me. I have been wanting some way to break the ice with them, suggesting this might be just the thing.
Thanks
Yay Gwen! That sounds like a great way to break the ice 🙂
Thanks so much for the wonderful tips! I’ve been trying to work up the courage to do this for awhile now but being new to my city I don’t know many people and was afraid I wouldn’t have anyone come. Great tip to work with a couple other people as well so everyone invites people!
You’re welcome Marissa! Yes, definitely work with other people 🙂
I LOVE this idea April!! I like parties and I had a similar idea before but reading your extra tips made me come up with a new vision of the party!
A few days ago I saw a TV program here in Italy that told the story of a couple of girls that started to organize private events in their apartment. They invite each week a diverse and emergent independent music band to make them play live there + have dinner all together.
It’s fantastic! I’m actually trying to mix together this two things to find other new inspirations and ideas to keep in mind and develop.
Thank you for sharing this sweetie!
Great idea! I love your posts. I’ll definitely put it in practice.
Since I started to read this blog I have a better idea of my shop. And I feel energized and more target oriented. And when it’s time to open my etsy shop I’ll make it shine!!!
See you later!
Thanks,
Michelle
Thanks for sharing! I’ve been going back and forth on this. I think I’m going to give it a shot!!