156: The Evolution of Sales Channels for Hardware Products

Product Startup · 30 Dec 2022 · 23m

What this episode covers

Ben Drury, founder of Yoto, explains how his connected hardware toy company evolved through five sales channels to reach nearly 500,000 units sold. He details the strategic progression from a modest Kickstarter campaign to direct-to-consumer website sales, then to Amazon, and finally to major retailers like Target and Best Buy. Drury emphasizes that early channels like crowdfunding and direct sales are essential for ironing out bugs and building demand before approaching retailers who operate on long planning cycles. He also highlights the importance of hiring experienced supply chain and operations staff to manage the complexity of scaling production and navigating international logistics.

Mentioned

Companies
Pentagram, Mako Design + Invent, Huawei
Products
Yoto
Also
Kickstarter, Amazon, Target, Best Buy, MoMA, Indigo, Mastermind

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