3 key factors to being profitable when sourcing are:
1-Sourcing is not shopping
2-Knowledge & Confidence
3-Sourcing at the best price
1-Sourcing is not shopping. This is a mindset switch that has practical, real-world steps that change the way interior designers complete design jobs. Most designers shop for their clients at local furniture stores and big online furniture retailers which is easily accessible but doesn’t leave enough profit to run a business.
Interior designers often feel stuck in this shopping mode because they lack the confidence and know-how to source from wholesale vendors to make sustainable profits. Vendors also make it challenging to purchase from them which leaves designers on the outside. All of these are reasons why The Designers Collaborative (TDC) was created, which was to solve and go above and beyond so members succeed like never before.
The mindset part is realizing that your clients hired you to be the expert and to have the full vision of what the best outcome is for their home. This means you present them with a completed design all the way down to the smallest details. This might sound like common sense but a lot of designers struggle and present too many options. Presenting one clear vision with maybe a backup selection on standby for all the things is the type of expert level of design clients are paying for.
2-Knowledge and confidence are key to successfully making profits as an interior designer. Just like in all other parts of the design process, being knowledgeable about the furniture from construction, price points, where it is made, how to find a good receiver, etc. makes all the difference. Then, after you are knowledgeable, you must have the confidence to sell to the client.
A lot of interior designers find their schooling doesn’t cover furniture quite enough and in order to be successful they need to educate themselves more in this area. Knowledge is power and TDC is all about empowering our Members so there is a lot of education included with Membership. We highly recommend attending the High Point Furniture Market because experiencing is the best education you can get. Being able to do the “sit test” at 100’s of vendors and pull the drawers to see how it glides is the first-hand experience that leads to the confidence to sell.
3-Source products at the best price to be able to resell as close to retail or MAP pricing for maximum profits is the ultimate goal. The difference is astounding! When interior designers shift from shopping at retail making 10% to sourcing at stocking dealer and making 50-70%, they thrive.
Gaining accounts at stocking dealer is not an easy feat. Furniture vendors have made this difficult so that they protect their brand and their loyal customers, which are typically furniture stores and design centers. In order to open an account with a vendor there are requirements such as a large first order which can be anywhere from $3000-$20,000 just to begin. Then, there are yearly minimums that you have to maintain usually $20,000-$50,000, which is not easy for a solo entrepreneur or even a small design firm.
This is why The Designers Collaborative was created. We have power in numbers with currently 500 Members all across North America. Our list of vendors, offered at the best pricing, has over 300 vendors, which allows all of our Members the creative freedom and huge profits they could only dream about previously.
Joining The Designers Collaborative is simply an application away located HERE on our website.
