Many companies today face a common phenomenon: they set monthly sales targets and annual sales targets, yet the end result is that they fail to meet them month after month and year after year. What exactly is the reason? In fact, whether for companies or distributors, you must be familiar with your regional market and control the terminals. Only then can you drive sales through terminals and achieve performance targets. Based on years of operational experience, the author will explore with readers how distributors can drive sales through terminals. A terminal is the final link where consumers decide to purchase, and it is where profits are ultimately realized. Operating terminals well can guide consumption, enhance brand image, increase product flow, and secure better and more production space and resources for distributors. As competition in the food industry intensifies, terminals are the core lifeline affecting a distributor's regional market sales. Increasing terminal sales is the top priority for boosting regional market performance. To drive sales through terminals, distributors must make adjustments around five key metrics: terminal distribution rate, terminal merchandising, terminal customer relationship maintenance, effective customer count, and price system control. First, Increase Distribution Rate: The Core Link to Terminal Sell-Through Distribution is the proactive act of recommending products to retail terminals, thereby significantly accelerating product circulation and sales speed. Product distribution is an indispensable part of terminal work and is key to driving terminal sales, whether for new or existing products. When a product enters the market, distribution is needed to create opportunities for consumers to see it; as the product gradually matures, distribution is needed to further boost sales; and when the product enters decline, distribution is needed to maintain terminal visibility. Many distributors often think that if a product has been on the market for 5-6 years and channel profits are transparent, especially after launching new products, there is no need to distribute the old product. But we see Master Kong and Coca-Cola products maintaining end-cap displays year-round. This is how large enterprises continuously increase exposure, which is why they remain enduring. When transitioning from off-season to peak season, distribution is needed to secure terminal shelf space; when transitioning from peak to off-season, distribution is still needed to ensure product display during the long off-season. In summary, distribution aims to shorten the physical distance between the product and consumers. When the physical distance is shorter, the psychological distance becomes closer. Distributors must remember that distribution should place the right products in the right terminals and offer the right promotional policies to the right terminals; otherwise, it can lead to product misplacement, chaotic channel pricing, and shortened product life cycles, ultimately affecting profitability. Second, Merchandising: Like a Woman's Attire and Makeup What is terminal merchandising? Merchandising refers to all efforts related to the display and management of products, promotional materials, and market equipment at retail points. Terminal merchandising includes both product and brand aspects. I often compare it to a woman's attire and makeup. The direct and ultimate goal of terminal construction is to increase sales. Why do merchandising? In reality, most consumer purchases are impulsive. According to the AIDMA principle, consumers typically start by noticing a product, develop interest, generate associations, stimulate desire, compare with other products, and finally decide to purchase. Therefore, attractive product displays at retail points are essential. Retail stores are the final link where consumers decide to buy. Competing for every customer in the last minute is a battleground for brands, a window to showcase brand image, and the most direct reflection of brand value. You must ensure that at the terminal, your product looks appealing and offers value for money. Distributors must always remember that merchandising is necessary to boost sales. Your product should occupy the best display position, the largest display space, and the highest cleanliness at the terminal. You should arrange the most optimized promotional materials, showcase a strong brand image, create a strong sensory stimulus and shopping environment, and foster an atmosphere that completely outperforms competitors, thereby stimulating impulsive purchases. Third, Customer Relationship Maintenance: Holding the Customer's Hand with a Chart For terminal customer relationship maintenance, distributors can refer to the following chart, use it to compile statistics, grasp customer information, understand customer needs, and facilitate long-term retention in the future. Fourth, Increase Effective Customer Count: From Points to Lines, from Lines to Areas Regarding the effective customer count for distributors, I will cite a real case to illustrate its importance. A regional beverage distributor, Manager Li, in a prefecture-level city often said, "Our area's terminal distribution rate is high, and salespeople are out every day, but sales still won't increase." Below is the single-store sales data table for Manager Li's area: Looking at this chart, what do you think is affecting Manager Li's regional market sales? First, from the data in the chart. Manager Li's terminal network has width but lacks depth. For example, the distribution rate in convenience stores is good, but there are many outlets, yet few core outlets that actually generate sales. Many stores have very low per-store output, selling only a few boxes a month. Second, salespeople visit outlets but are not putting in real effort. They seem busy, but in reality, their daily routine is just checking if each store has stock and whether they need more. Their work is superficial; they do not fully take responsibility to ensure smooth channel flow, leading to distribution without follow-up. So how can Manager Li increase regional market sales? The solution is to address the problem of terminals "holding inventory but not moving it," which means strengthening deep maintenance, enhancing customer relationships, and improving promotional displays to drive sell-through. Distributors should work with terminal stores to figure out how to quickly sell products to consumers. When terminals have no stock, they will naturally reorder, truly solving the "holding inventory but not moving" issue. For example, using a dynamic strategy combining "points" and "areas" in the regional market, adopt the "points to lines, lines to areas" approach. Select 50 terminal stores with monthly sales of less than 5 boxes and create an opportunity for these 50 stores to reach 20 boxes per month—the "opportunity to conquer 50 terminals." If these 50 stores each sell 20 boxes monthly, that's 1,000 boxes. Then replicate the process with another 50 stores, reaching 100 stores. Just these 100 stores would generate 2,000 boxes monthly. Continue this way to ultimately achieve sell-through across the network. So how to implement the "Plan to Conquer 50 Outlets"? Select the right terminal outlets. The selection criteria are: first, high foot traffic, suitable for selling your product, and where your product is already present. Second, terminals where competitors are performing well and where you have also entered. Such terminals prove that your product can sell there, and succeeding there will also strike a blow to competitors. Concentrate forces for attack. Operationally, concentrate human and material resources on these specific outlets: assign your most capable salespeople to be solely responsible for these outlets; ensure these outlets always maintain a maximized display, the best promotional setup, and the highest quality customer service. This approach, on one hand, reduces competitors' display space—the less visible their displays, the greater your opportunity—and through maximized promotion and display, directly advertises to consumers. Helping these terminals sell products not only helps them clear inventory, leading to more orders and stronger relationships, but also builds the store owner's confidence because of product movement, prompting them to help sell your products, eventually creating a virtuous cycle. Fifth, Price Control: Place the Right Products in the Right Terminals The price system is the lifeblood of our products. Distributors must strictly control the price system at terminals when selling products. First, the right products must be placed in the right terminals to avoid price chaos. For example, 2L beverages should be sold in community liquor stores and supermarkets; if placed at school gates, store owners will be forced to discount them. Second, the right promotional intensity should be given to the right terminals. During promotions, some retail store owners overestimate their sales capacity. They might order 30 boxes when they can only sell 10, thinking they can sell them all even at a discount. As a result, they may sell the stock, but it leads to channel price chaos and no profit for the terminal. Third, manage the price system. Suppose there are three stores at an intersection, all selling your product. They are likely to compete by lowering prices, causing price chaos. In this case, you can communicate with the three store owners, agreeing that as long as they keep prices consistent and do not discount, each store will receive a reward at the end of the month. However, if any store discounts, all rewards are canceled. This creates a mutual monitoring system among the three stores, maintaining a normal price system. Source: Sales and Market -END-