The Genesis Company

Top 3 Mistakes Brands Make on the Path to Retail

Confessions of a Former Retail Buyer: The Top 3 Mistakes That Could Cost You Shelf Space

 

Our VP of Sales – Food and Beverage, Matt Adelmann, recently joined Entrepreneur Media’s Problem Solvers podcast to talk about one of the biggest misconceptions in retail: getting your product on the shelf is not the finish line; it’s just the beginning.

 

As a former Target Senior Buyer, Matt shares hard-won lessons and candid advice for founders chasing retail success. Whether you’re in 10 stores or testing in 400, the principles remain the same: plan smart, pitch right, and don’t skip the fundamentals. 

 

Here’s a Q&A-style recap of the conversation: 

 

Q: What’s the biggest myth founders believe about retail?

 

Matt: That getting on retail shelves equals success. It doesn’t. You can get that big PO, but if you’re not financially ready to support it—ingredients, production, logistics, deductions, spoilage, chargebacks—it can take you under. I’ve seen it happen firsthand. Retail costs a lot more than people expect.

 

Q: What’s the first common mistake brands make?

 

Matt: Not understanding cash flow reality. Retail requires more than just cost of goods. You’ve got to budget for: 

 

  • Trade spend and promotions
  • End cap placement fees
  • Clearance markdowns
  • Spoilage and shrinkage, especially in perishable categories
  • Chargebacks and deductions 

 

If your financial model doesn’t account for these, you’re flying blind. And yes, even established brands get surprised by this.

 

Q: What’s mistake number two?

 

Matt: Chasing store count too early. More doors don’t mean more success, it can actually kill our brand. If you expand too fast without the ability to support sell-through, you end up with low velocity. That’s how you get discontinued. 

 

Instead, smart small. Prove success in 50 or 100 doors. Build your sales velocity—units per store per week—and use that as your growth story. Retailers don’t want ambition, they want proof.

 

Q: Does that apply to test sets, too? 

 

Absolutely. Test sets are great. But you’ve got to treat them seriously. Pick your top-performing stores, run targeted ads, and make sure you drive velocity. Because a failed test can keep you out of that retailer for years.

 

Q: What’s the third major mistake?

 

Matt: Pitching the wrong way. Founders love leading with their story, but retail buyers don’t want your brand origin story first. They want to know: 

 

  • Who is this for?
  • How will it drive sales or margin? 
  • Why should my shopper care?

 

Understand the buyer’s goals, and start by asking: what’s your strategy, and how can I help drive sales in your category? Make it about them, not just you.

 

If you truly understand the Target guest, you understand their average household income and the types of products they respond to. And if you can back that up with your own e-commerce, geographic, or demographic data, you’re not just pitching, you’re proving why your product belongs on their shelf.

 

Want to hear the full conversation? Listen to the complete Problem Solver’s podcast episode featuring Matt Adelmann here

 

About The Genesis Company

At The Genesis Company, we specialize in helping CPG brands scale across retail, Amazon, and DTC channels. With $4B in managed retail sales and over 100 brands at Target, we partner with brands to create tailored strategies that drive real growth. Through our work, we’ve helped feed over 1 million children, rescued over 200 girls from human trafficking, and provided counseling to more than 100 children affected by domestic abuse.

 

Want to learn more about how The Genesis Company helps brands succeed at mass retail? Contact us here to learn more about maximizing your growth potential at Target.

 

Discover more from The Genesis Company

Subscribe now to keep reading and get access to the full archive.

Continue reading