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"The channel is the customer, and the terminal is the market." This is a tune that marketers have been singing frequently and loudly in recent years. Indeed, as a part of the sales channel, retail terminals face consumers directly, serving as the gateway through which products become consumer goods and the source of actual sales for manufacturers. To ensure their products cross this gateway and generate real sales, manufacturers compete in terminal operations. However, in actual terminal work, many terminal marketers fail due to misconceptions.

Misconceptions

1. Content: Emphasizing Sales Over Market Simply focusing on delivery, payment collection, and other routine business tasks, with product sales as the sole goal, neglects market development, maintenance, and network building. It also forgets to help customers in the market circle grow and develop together. In terminal marketing, is it about "building networks" or "making sales"? This confusion leads to a situation of "sales without a market." In reality, sales and market should coexist; only with a solid market can there be long-term sales.

2. Target: Emphasizing Large Customers Over Small Shops Failing to flexibly apply the principle of "grasping the big and letting go of the small" in customer development, leading to a bias towards large customers. Terminal customers can be divided into four categories: high sales/high profit, high sales/low profit, low sales/high profit, and low sales/low profit. What defines a "key account"? It is not based on the overall sales volume or scale of the terminal, but on the proportion of our business to their total business and the profit generated from that business. Furthermore, small customers are also worth developing because:

  • They can grow into large customers.
  • They can fill gaps in our terminal network.
  • Small customers do not necessarily mean small business or small profits.

3. Product: Emphasizing Large Products Over Small Ones Large products, typically those with higher retail (or supply) prices, account for a significant portion of a terminal salesperson's performance. This is especially evident in wholesale enterprises, which operate a diversified product portfolio. If salespeople focus only on such products, they risk becoming specialists in a single product, or even "hanging themselves from one tree." Conversely, lower-priced products tend to sell faster, facilitating a quick turnover and reducing inventory and the risk of payment loss. Moreover, we should not simply equate high-priced products with large products; instead, we should consider the profit margin each product brings, as retail (or supply) price does not necessarily correlate with profit margin.

4. Method: Emphasizing Incentives Over Management We often treat every customer as a god, yielding to their demands such as bargaining and gift distribution without any principles. While being accommodating, we must also monitor them. That is, "respect them as gods, but guard against them as thieves." Prevent them from switching allegiances, using our policies to sell competitors' products, or even moving or closing overnight. Policy incentives are like storms—they come quickly and go quickly. Only thoughtful, timely, and comprehensive service and management can have a subtle and lasting impact.

5. Process: Emphasizing the Middle Over the Two Ends Terminal work involves three links: the products we supply to the terminal, the terminal with which we directly establish a buying relationship, and the consumers who buy from the terminal. Some terminal salespeople only focus on the middle (the terminal), neglecting the two ends (the products and the consumers). This leads to a lack of comprehensive product knowledge and systematic customer introduction, as well as failure to build a typical consumer profile for after-sales service, which is crucial for winning customer loyalty and repeat business.

Business Failures

These misconceptions lead to failures in terminal work. Many distributor owners often lament, "Ask three questions, get no answers," when checking terminal work. That is, the terminal does not know which salesperson from which manufacturer (or distributor) is doing business with them on which products.

  • Unaware of the company: The terminal does not know the manufacturer's (or distributor's) business scope, scale, strengths, or cooperation methods.
  • Unaware of the salesperson: The terminal does not know the salesperson's name, company, products, responsibilities, or how they can benefit them.
  • Unaware of the products: The terminal is unfamiliar with product specifications, prices, selling points, and sales policies.

Master the Basics to Prevent and Cure Problems

1. Develop Three Major Strategies: Achieve Three Lock-ons

  • Product Lock-on:
    • Be familiar with the company's product range to promptly identify shortages or stockouts at the terminal.
    • Know the specifications, prices, and features of each product and its competitors to recommend correctly.
  • Personnel Lock-on:
    • Lock onto terminal sales staff; build strong relationships so they are willing to sell our products.
    • Lock onto manufacturer (or distributor) salespeople; form alliances to solve terminal marketing issues.
  • Customer Lock-on:
    • Observe every customer entering the terminal to seize sales opportunities.
    • Establish terminal files, track service, earn word-of-mouth, and strive for repeat orders.
    • Attract and retain direct customers through quality service.

2. Use Three Tactics: Promote the Spirit of Diligence

  • Diligent Mouth: Communicate more with people you meet, introduce and promote products, yourself, and the company; explain to eliminate doubts and misunderstandings.
  • Diligent Legs: Visit more stores each day, and visit each store more frequently.
  • Diligent Ears: Gather market feedback; adjust strategies promptly to meet terminal customer needs.

3. Fight Three Major Battles: Achieve Three Goals

  • Promote Your Company:
    • Basic information: location, founding date, business scope, scale.
    • Strengths: product range, pricing (compared to competitors), service (whether it can eliminate concerns).
    • Cooperation methods: whether the terminal picks up goods or we deliver; cash or consignment.
    • Welcome visits to the company.
  • Promote Your Products (preferably with samples and promotional materials):
    • Basic product information.
    • Selling points: what is the core concept compared to similar products?
    • Sales policies: distribution area, anti-diversion, and price control.
    • Promotional policies: advertising, terminal promotions (costs, gifts, premiums).
    • Supply prices: cash price and consignment price.
  • Promote Yourself (different from a job interview self-introduction):
    • Name: explain it clearly, associating it with something memorable.
    • Company: state the full name, avoid abbreviations to prevent misunderstanding.
    • Products: mention a few well-known or exclusive products to attract attention.
    • Responsibilities: what services you can provide and what conveniences you bring.
    • Request support and cooperation, such as checking sales, flow, and pricing.

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