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Highlights
- Brands can give retailers exclusive access to their product catalog in exchange for required annual spends.
- Data shows that exclusivity can lead to higher spend and more frequent orders, and can attract new customers to your brand.
- Getting started is as easy as setting a required annual spend and reviewing exclusivity agreement requests as they come in.
One of the things retailers love most about Faire is their ability to find unique products that help their store stand out. And when they find those perfect-fit products from brands like yours, meaningful business relationships spark that can be lucrative for both buyer and seller over many, many years.
These long-term relationships are the currency of the most successful brands on Faire, and to make sure you can get the most out of them, we’ve introduced a new exclusivity program that brands and retailers can opt in to. Exclusivity is a way for your customers to get exclusive access to your entire product catalog in their area, giving them the ability to offer unique assortments that don’t feel generic or commoditized. In return, they’ll make an upfront commitment to meeting your required annual spend, giving you a predictable revenue stream and more loyal and long-term customers.
“Having unique products is the best way to encourage customers to shop with us and make our shop a destination. We try not to buy lines that are easy to find, and if the brand doesn’t offer exclusivity in our neighborhood, most of the time we will pass on them.”
– LUCCA great finds, US retailer
Exclusivity can drive growth—and long-term relationships—for brands
Exclusivity can motivate retailers to spend more and incentivize new retailers to order from your brand. In fact, 27% of agreements in the program beta were from retailers who had never ordered from the brand before.
The program also gives brands a powerful opportunity to build customer loyalty over the long term, which pays additional benefits: not only giving you predictable, steady sales from your best customers, but also giving you the confidence that your brand is being showcased and presented to the customer in a thoughtful, considered way.
“We sell stronger on our exclusive brands because we can say we’re the only outlet for it in this area. It gives our store a bit of prestige.”
– Howela Clothing, UK retailer
How the program works
Set your required annual spend. To offer exclusivity, you’ll first set your required annual spend. Retailers will commit to spending this amount with you over 12 months to get exclusivity on your full catalog in their exclusivity area. You can update your required annual spend, or opt out of exclusivity at any time.
Review exclusivity agreements when they come in. You’ll be able to review every exclusivity agreement as it comes in and can cancel any agreement within 7 days if it doesn’t work for you.
What retailers have to say about exclusivity
We’ve been talking to participating retailers about their thoughts on the program. For many, they see exclusivity as a way to not only ensure their assortments can stand out from others in the area, but also to help protect and nurture the relationships they have with brands that fit their shop’s unique character and identity. The results of our recent February 2024 retailer survey showed that retailers are:
- Interested in exclusivity. 85% of top retailers report having had an exclusive relationship with a brand in the past year
- Spending more. 48% of top retailers are spending more with their exclusive brand(s)
- Ordering more frequently. 56% of top retailers are ordering more frequently
- Repeatedly opting in. 75% of top retailers sought other exclusivity opportunities after having exclusivity with at least one brand
“Exclusivity is crucial for our business in a small market as it fosters a sense of uniqueness and value among our customers. We create a distinct identity that sets us apart from competitors by offering exclusive products. This enhances customer loyalty and provides a compelling reason for new customers to choose our brand.”
– Jones & Co., US retailer
Frequently Asked Questions
Will offering exclusivity block me from other sales?
By nature, once a retailer secures exclusivity with you, other retailers in their exclusivity area won’t be able to order from you on Faire. However, based on data we’ve collected from participating brands, only 0.3% of brand page visits have been blocked from ordering due to an active exclusivity agreement. It’s unlikely that offering exclusivity will result in substantial foregone sales, but you’re encouraged to set a high enough required annual spend to make you comfortable.
What is the size of a retailer’s exclusivity area?
A retailer’s exclusivity area is dependent on their location and the number of other retailers nearby. The area typically ranges between 0.3 – 1.2 miles (0.5 – 2 km). You can review a retailer’s exclusivity area on your stockist map and when you’re notified of a new exclusivity agreement.
Can a retailer cancel at any point?
Retailers can cancel within one month of activating exclusivity by contacting Faire Support. If it’s been more than one month since the agreement has started, the retailer would first need your approval before Faire can cancel the agreement.
What happens if a retailer doesn’t meet my required annual spend by the end of the 12-month period?
In the case where there is a remaining balance at the end of the 12 months, Faire will charge the retailer and provide the balance to the brand. Faire will send reminders to the retailer throughout the 12-month period to encourage them to make progress towards their spend commitment.
Have a question that’s not answered here? Check out our full list of FAQs here.
