Working with QVC or Home Shopping Channel

by Steve
(New York)

If a product is approved by the Home Shopping Channel or QVC, how does the business and financial arrangement between one of these companies and the company with the product actually work?


When HSN or QVC selects a product to showcase on their program they will typically purchase inventory from the product company to sell. This is a sales transaction like with any other retailer.

HSN and QVC require that the product is ready for sale and shipment. They don't do development or license an invention like many other infomercial companies do. Unfortunately pitching them an idea is not enough, you will need a product and inventory to sell.

The company with the product provides the inventory for sale. In some cases the inventor will be asked to be on the show to help promote and sell the product. The only caveat with selling through this channel is that if the inventory does not sell out, the company will be required to take the unsold inventory back.

The good news is that in this case you have a paying customer to purchase your product and it is being sold on TV. If it sells well they will likely reorder and run the product again. Additionally having your product on TV allows you to market your product to retailers in their popular “As Seen on TV” aisles. Who knows you may also determine that you have a real hit on your hands.

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