Cost of Doing Business with QVC
For entrepreneurs, small business owners and inventors, QVC presents an incredible opportunity to gain worldwide exposure. This particular home shopping network broadcasts 24 hours a day, 364 days a year, is seen in 195 million homes worldwide and is a $8.5 billion-a-year business. But there are some costs you need to know upfront to make sure you can “Pay To Play”
- Margin Formula QVC takes approximately 47% margin in this category.
- On Air Guest Training and Guest Fees Vendor is responsible for on-air guest fees
- B-Roll QVC strongly encourages B-Roll to portray & further enhance what cannot be shown LIVE in the studio. We have a relationship with a third party production company who is extremely familiar with QVC’s requirements. Based on the extent of the project, this B-Roll fee may vary. Please note, we also can review existing footage to determine if it’s appropriate for QVC. B-Roll typically ranges from $1,200-$1,500 per item, but can increase depending on the extent of the video.
- Master Carton Label ($0.05 per label) – Each master carton that is received to QVC will need to be labeled appropriately via one of QVC’s approved label suppliers. The cost per master carton label is approximately $0.05 per label.
- Saleable Unit Labels ($0.01-$0.02 per label) – Each unit shipped into QVC requires its own saleable unit label. Again, this must come from an approved label supplier and is approximately $0.01-$0.02 per label.
- Q Platform Deduction QVC takes .75% off of the gross invoice they pay you for the Q Platform Deduction. The Q Platform Deduction is essentially a fee incurred by the vendor to support QVC’s multi-channel experience. Examples of this multi-channel experience are QVC.com, social media, email and Customer Relationship Management capabilities, search and affiliate marketing, mobile apps, microsites, desktop, and many more.
- Prepaid Freight QVC requires prepaid freight to their warehouse. QVC has 3 distribution centers located in the following areas: Suffolk, VA, Rocky Mount, NC or Florence, SC. Please note, the freight charges required to get the product to QVC is not included in QVC’s margin and is solely on the vendor to fund. If a product is RTV’d based on poor sales, QVC will pre-pay the freight back to the Vendor’s address of choice within the US.
- PSFGA (Pre Shipment Finished Goods Audit) If your PO is elected for this, a PSFGA is an audit performed at the factory, prior to shipping. The PSFGA assists in determining the merchandise conforms to the QVC standards before hitting their DC.