1. What kind of gifts do you offer -
The products I offer are usually customized apparel like T-shirts, Shirts, hoodies, raincoats, caps with printing or embroidery, Coffee Mugs, Drinkwares, and diaries. Along with this, I supply uniforms to Industries and educational institutions. The apparel segment contributes almost 60% of the revenue.
2.What are your margins right now? How willing are you to cut into your margins, and by how much? This will give us a headroom to negotiate deals.
In apparel, it's around 12- 20% depending on the size of the order
In drinkware and stationary roughly 30 - 50%
Since we are a B2B business and work on bulk orders like a MOQ of 100 pcs in apparel and 50 pcs in drinkware and stationery. These are Gross margins but can let go 2-5 depending on segments and order qty.
3. How's the corporate gifting industry performing in general? Are corporates reducing budget, or are they simply choosing a different provider than you?
In recent years this industry has become very saturated. Many new entrants have entered into this industry. Those who had the network earlier are doing well. Post Covid companies have reduced their budget, especially the small and medium ones. The big companies are difficult to reach as they have their existing vendors. I haven't figured out a way to reach them directly. I supply companies like LinkedIn, Tech Mahindra etc but through a third-party vendor. Since I started this business I have retained 90% of my clients and they seem to be happy with my services. The ones I lost are purely based on pricing as they wanted something at a price that they paid 4-5 years back and they were not ready to increase their budget and I didn't want to offer them a inferior quality product. They are still in touch even do frequent inquiries some orders get converted some don't.
4. How do your existing clients rate your products and services in the past 2 years?
As stated earlier, I have retained 90% of my existing clients and they are quite happy with my services. I usually lose clients on budget issues.
5. To whom do you DM/send emails?
Usually HR's, Managers, and Sometimes even the founders, co-founders, and directors. Most read the message and don't respond. Need a suggestion on this like whom should I approach and whom I do not.
6. For how long have you been getting low orders, give us a view of your current MoM scale to previous MoM growth
Orders have been since March of this year. In January and February, we did better than expected. March - June orders have been reduced by almost 50% if you compare on a QonQ basis. Old client's orders are steady and I know which company orders in which month but in the last 3 months we have not been able to get a single new client. I am not able to figure out what is wrong on my part.
Thank you for asking me these questions. If there is any other information you need to ask please do so.
I am looking forward to your suggestions for approaching and acquiring new clients. What kind of advertising techniques should I approach?
What am I doing wrong here?
Also, a suggestion on pricing strategy would be helpful.
