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Dec 1, 2007
by Judi Perkins
The overruns are purchased when the originating company waives their right to them. "Overruns are just made," said Vayner. "The style is always very trendy." FashionPenny.com pays only for the cost of materials, giving them an exclusive amount of in-demand product, purchased at a price that allows them to pass the benefits to their customers. "We are not getting it at wholesale. We are not getting it at manufacturer's. We are getting it cheaper. We are getting it 25% below manufacturing cost. And we only deal with high quality manufacturing. We are buying exclusive designs that you would not find unless you went to that jewelry store. Now that is the focus of our company," said Vayner.
The relationship between the sourcing office and the manufacturing plants is so strong, Vayner said, "that we are one of the first people they call. They know we are a buyer." FashionPenny.com can purchase as many or as few of an item as they want. Sometimes they buy thousands; sometimes only forty to fifty. Vayner says, "Then the rest waits for our test run. If we give them an okay, the product is ours. If we say no, it goes to someone else."
The first step in the best seller test is to offer the product line to their customer mailing list, who always receive first option to purchase, and have 24 to 48 hours to do it. "That gives us an immediate answer on whether a product will do well or not," said Vayner. If the entire quantity sells out, FashionPenny.com purchases more, if more is available. If it is, then the item moves to Deal of the Week. If not, then 2,000 pieces, and only 2,000 pieces of that item, are remanufactured and moved into the corresponding product category.
And if the items do not sell out to the mailing list, they are put in New Arrivals. Items that move quickly through New Arrivals are also remanufactured once, at a limited run of 2,000 pieces. "We purchase product that we feel will do very well. We give it a test run with our clientele. If it sells out fast, it becomes a Classic. A Classic is an item that we will manufacture one time." In other words, once those 2,000 are gone, that piece is never offered again.
Vayner believes it is important to speak with his customers and ensure they receive full guidance in maximizing their profits. "You're growing your own customer. Not every buyer is an educated reseller. He may just be coming into the market." For their eBay sellers, FashionPenny.com even provides a developed and tested program for them to implement. "We give them a step by step success format if they are on eBay. Along with our products, our eBayers get instructions on how to list it, when to list it, and why."
To Vayner, it is about ensuring his customers' success. "If they are looking for silver and they purchase it from us, they have an item that is definitely going to sell and make them good profit. And if it does not sell, we will take it right back," said Vayner. "We truly specialize in high demand goods. High demand product is good, but a low quantity of high demand product is even better. Our product holds a lot of value to the customer."
The value is tangible when it comes in the form of a certification of appraisal by one of the certified independent gemologists FashionPenny.com uses. "If there is an item on our website that is selling over $50, usually that item is going to be worth a suggested retail price of $400 to $600, and it automatically comes with a certificate of independent appraisal," said Vayner. "It also gives the customer an authorized indication of what the item consists of. If the appraiser says there is a half carat of stones in there, then there is a half carat of stones in there."
Including the appraisal certificate, what works for FashionPenny.com works equally well for their customers. Exclusivity, limited amounts, a sense of urgency, verified authenticity, and unbelievable prices result in loyal customers, high profits, and satisfaction for everyone involved. Factor in a wide variety of high quality, fresh product, and it is understandable why so many of their customers gradually cease to sell product from other suppliers. FashionPenny.com's products encompass such a variety that no matter who you are, what you sell, where you sell it, or what distribution channels you use, FashionPenny.com can benefit your business. Among the thousands of items on their site, there is both white and yellow gold in 10, 14, and 18 carats, sterling silver, a wide variety of gemstones, diamonds (both lab and genuine), brass, stainless steel, pearls and more. These materials comprise all manner of necklaces, rings, bracelets, and earrings, and are purchased by wholesalers, retail store owners, kiosk operators, flea market vendors, eBayers, home party sponsors, and other resellers.
As a reseller, ten minutes exploring FashionPenny.com leaves you thinking that maybe money really does grow on trees.
Topic: Company Profiles
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