1. The Pattern

• Great product

• Good feedback

• Strong initial interest

But no sustainable margin

2. The Missing Piece: Path to Market Economics

Break it down simply:

• Ex-factory price

• Freight

• Distributor margin

• Retail / operator margin

• Promotional spend

Most suppliers only think about their cost + their price

3. Where It Breaks

• Shelf price has to match competitors

• Margin expectations are fixed (not flexible)

• Promotions expected (not optional)

So the supplier becomes the adjustment lever

4. The Trap

“We’ll make it work for now and fix it later”

They don’t.

Because:

• price increases are hard

• competitors don’t move

• distributors resist changes

5. What Good Looks Like

• Build backwards from shelf price

• Understand margin expectations at each layer

• Pressure test promo scenarios

• Ensure there’s still margin left at the end

6. Where SupplyIQ Fits 

• Mapping path to market

• Stress-testing commercial models

• Aligning product + pricing to reality

A product that doesn’t work commercially isn’t a product.

It’s a cost.