Hello guys and gal pals. When you dive into the crazy world of owning and operating a boutique, you are bound to run into some words or phrases that make you go "huh" and frantically head straight to google to figure out what the heck they even mean.
Let's get you started with a basic vocabulary list so you are even better prepared to take on this business and can communicate with manufacturers and vendors like a pro.
Wholesale [hōlˌsāl] : Items sold in large or bulk quantities, at a lower price, often for the purpose of reselling.
When you purchase inventory for your boutique, you will be purchasing them at wholesale cost. You may also see a wholesale price abbreviated as WHLS.
M.S.R.P : MSRP stands for Manufacture's Suggested Retail Price.
When you purchase inventory for your shop, the manufacturer may give you an MSRP. This is what they recommend you price specific items at in your store.
M.A.P : MAP stands for Minimum Advertising Price.
Every now and then, you will purchase inventory for your boutique and the manufacturer will give you a MAP. Minimum Advertising Price. (Example: $15 is the lowest you may sell this item for in your store.) Now, you may be thinking "how can someone tell me what to price items at in MY store?" Well, this often only happens with larger name brands such as Free People, Levi's, etc. as a way to maintain their brand.
Linesheet : A linesheet is a form, brochure or document showing a manufacturers products with their wholesale and pricing details.
Example, if a brand or maker contacts you and is interest in their products being sold in your boutique you can say "Sure, I'd love to take a look at your products. Please send me your linesheet."
Pre-Order : Preordering is when you purchase/reserve an item to be shipped to you on it's available date.
Many manufacturers and vendors will have items available for preorder. Often, they will give you the anticipated ship date of this item. Some vendors/manufacturers charge upon order and others charge upon shipment of the items/products.
Pre-Pack : Manufacturers often sell items in a "pre-pack", which is a pre set pack containing a certain quantity of each size.
Most pre-packs are on a 2-2-2 structure (example: 2 smalls, 2 mediums, 2 larges). If you want more than 2 of each size, you can order multiple pre-packs. (example: if you purchase 3 pre-packs of a shirt, you will receive 6 smalls, 6 mediums, 6 larges of that shirt.)
Back Ordered : A back order is when an order cannot be fulfilled at the current time, often due to lack of inventory or supply.
If you ordered a pre-pack of a certain shirt, and then you get an email that this item is "back-ordered", it means you will not be receiving that item when you had expected to. Often times, a date when that item will become available to ship will be given and you can select to just cancel the order or continue the order and receive the items at that later date.
I want to make sure you have list handy, and easy to refer to anytime you need it, so I've made you a printable! Click HERE to download it.