Internet anxiety, or mobile internet anxiety, is the most important issue facing many distributors today. Distributors were once the main channel from products to terminals and users, which contributed to the growth and prosperity of the distributor community and played an indispensable role in the rapid development of China's commercial economy. However, because most distributors are engaged in simple resale businesses and cannot participate in the design of manufacturers' distribution models, they are very passive in every iteration and change of marketing models, especially when internet marketing and mobile internet are surging and gradually becoming mainstream. This marketing that breaks through space and geographical restrictions has rapidly weakened the advantages of traditional distributors. A large number of corporate brands bypass the agency level and directly enter B2C platforms, building their own direct sales networks and platforms. When intermediaries engaged in distribution trade have their upstream companies directly place products in front of consumers, they completely lose their price advantage. Offline foot traffic is continuously decreasing, and business costs are rising daily. Take Haier as an example: it abolished the Haier Industry and Trade Platform and established many small micro-enterprises. The factory directly connects with these small micro-enterprises, reducing intermediate links and compressing docking costs, making traditional distributors no longer glorious and quite aggrieved. If this situation continues to develop and distributors do not make strategic adjustments, in the contest between buyers, on the chessboard where distributors confront manufacturers, distributors will inevitably be continuously eliminated. It can be said that the internet is constantly invading, mobile internet is constantly replacing, and the overall environment is becoming more hostile. Do the thousands of distributors still have survival value? Where is their future competitiveness? Repositioning for Business Internet marketing allows companies' products and information to directly face users, cutting out intermediate links, leaving distributors in an awkward position, with sales and profits severely eroded. To reverse the situation, as traditional distributors, the first thing is to understand what upstream companies want to do but lack the ability or resources to do, and then tap into their own potential and strive to do it to the extreme. This not only helps upstream manufacturers develop and maintain markets but also lays the foundation for their own enterprise development, allowing them to firmly control channel discourse power. Distributors Can Transform into Logistics Providers Traditional distributors embracing the internet wave must wedge into the internet marketing link to stand firm in the internet tide. In this situation, distributors should connect with upstream enterprises' e-commerce, become their e-commerce logistics providers, fully leverage their logistics advantages, and transform from distributors to logistics providers. For example, current retail outlets are gradually shifting to third- and fourth-tier markets. For upstream enterprises, synchronizing logistics and display to these markets requires huge manpower and capital. Regional distributors, as regional brand agents, have manpower and logistics advantages and can replace all functions of manufacturers' regional chain stores, responsible for real-time logistics of all products, allowing manufacturers to have no worries. Establish Your Own E-commerce Platform The internet's characteristic of breaking distance has led traditional distributors to be gradually abandoned at the edge of the market. At this time, distributors should fully utilize the advantages of gathering many upstream brands, improve the e-commerce channel structure, and establish their own internet marketing system, making it more convenient to directly face users and synchronize their business model with the market. In this regard, distributors can gradually try O2O as a new channel, as a supplement to traditional channels. First, leverage the advantageous resources of industry leaders for platform-based operations, such as deep cooperation with leading companies like Taobao and Tencent, using their massive traffic resources to accumulate experience and consumers. This is also a better way to enhance their own brand awareness. Second, for O2O operations, products should be segmented. Distributors need a very clear product portfolio strategy, setting up some products specifically to attract traffic and cultivate users, some high-end products to achieve profitability, and some specialty products to meet specific consumer needs. Third, establishing their own e-commerce system may cause regional conflicts with upstream manufacturers, such as product and price conflicts. To solve this problem, distributors can design e-commerce to only conduct online consignment for their own regional market, thus ensuring no disconnect or cross-regional selling between online and offline. Be a Leader in a Niche Field In business, you cannot do all business; the same applies to distribution. Why fight desperately in price wars and promotion wars? Doing what you are best at is the most important. If you do one field to the extreme, you will succeed. A distributor I know is in a region that is a major breeding county and a battleground for various veterinary drug and feed manufacturers. Competition is increasingly fierce, and many distributors in this industry are barely surviving, with dwindling confidence. Veterinary drug and feed sales are not like daily necessities; they have a certain technical content and risk, so technical support and after-sales service are indispensable. This distributor did not lose heart. He turned his attention to special breeding households in the region and surrounding areas. After a year of hard work, he became familiar with the local breeding environment and disease prevalence, mastered breeding management and disease prevention knowledge, established a technical service station, specifically helping some manufacturers provide grassroots technical guidance and after-sales service, and established a WeChat public platform for breeding, establishing the "breeding nanny" brand in the region. As a result, this feed distributor stood out and his business flourished. This is a great inspiration for our distributors. If you are both a retail expert and a "technical expert" and "service nanny," why wouldn't you be favored? Develop from a Porter to a Small Platform and Small Center In the past, distributors were not a platform but organized operations according to upstream enterprises' needs. But this traditional enterprise organization has fallen behind and does not meet the service needs of the rapidly developing internet era. Small platforms have emerged as the times require. What are the attributes of a small platform? It has an independent marketing center, service center, and communication center, through which it establishes deep relationships with consumers and customers. Products are built around consumers and customers, and around the responsible region, thus transforming from a porter to a small platform and small center, fundamentally improving the quality of distributors. With the advent of the self-media era, self-media is the brand, and distributors' personal information is the brand. Distributors must inevitably become regional small brands and small marketing operation platforms. This also raises the requirements for distributors, requiring them to build their own teams, establish their own reputation, provide professional services, do a good job in experience services, form brand and word-of-mouth, and create an all-around high-quality small platform and small center, making customers and consumers feel at home. When e-commerce is like a "flood beast," impacting offline business, eroding market share, and pushing you into a corner, distributors must have the courage to survive after being placed in a desperate situation. Ideas determine the way out. Facing the new market pattern, those who are good at planning survive, and those who innovate win! As small and medium-sized distributors, you must break the traditional distributor model, continuously innovate, use small to win big, flexibly operate various marketing models, and complement diverse sales channels, only then can you stand out in the fierce market competition and remain invincible! 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Dealer Operations · Management & Methods
Cornered, How Can Distributors Embrace the Internet?
Internet anxiety, or mobile internet anxiety, is the most important issue facing many distributors today. Distributors were once the main channel from products to terminals and users, which contributed to the growth and prosperity of the distributor community and played an indispensable role in the rapid development of China's commercial economy. However, because most distributors are engaged in simple resale businesses and cannot participate in the design of manufacturers' distribution models, they are very passive in every iteration and change of marketing models, especially when internet marketing and mobile internet are surging and gradually becoming mainstream.
