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Introduction:
Many companies are currently implementing deep distribution, where terminal sales representatives obtain orders by visiting retail stores daily, then pass the orders to distributors for delivery. However, in reality, it is common that salesmen obtain orders but distributors are unwilling to deliver, causing dissatisfaction at the terminals and even leading them to stop selling the company's products. In such cases, what should we do? Distributors are essentially circulation merchants, and delivery is their most basic function. If a company does not conduct direct sales, it must rely on distributors to transport products from the factory to various consumption points. If a distributor is unwilling to deliver, it is likely a problem of mindset or communication, rather than a lack of delivery capability. Therefore, when encountering this problem, apart from considering insufficient delivery capacity due to peak seasons, the following aspects should be considered and addressed. Based on real-world understanding and verification, the problem likely lies in one of the following links: first, communication issues between the company (or its salesmen) and the distributor; second, problems within the distributor itself; third, terminal issues that prevent the distributor from delivering. Only by identifying which link is problematic can we solve the issue.
1. Adjust Deep Distribution to Be More Reasonable Of course, with the implementation of deep distribution, companies have standardized distributor territories, making management and market operations easier, and bringing companies closer to channel intermediaries and terminals, which is beneficial to consumers. However, under the previous extensive management style, companies recognized distributors as market masters, and all market operations were left to distributors. Such adjustments may significantly harm distributors' original interests. Therefore, companies must first understand whether there are unresolved issues that have not been properly communicated with distributors. This requires companies to first adjust the model to be more reasonable, striving to communicate with distributors to become true partners, rather than just changing the form while keeping the old content. In what aspects should adjustments be made? First, companies should not think that with heavy investment in deep distribution, distributors are "useless" and should be suppressed, forced to become mere delivery providers. Instead, after fully analyzing distributor functions, companies should identify and leverage their key functions, such as regional management, development, and capital. Rather than reducing distributors to delivery-only roles, companies should expand and enhance their important functions. If distributors have advantages in these areas, they should be allowed to utilize them for the company's benefit. Furthermore, the implementation of deep distribution is itself a channel adjustment process. Distributors should be classified, selected, and refined beforehand. If deep distribution is seen merely as terminal service without adjusting existing channel members—converting some traditional distributors into "deep distribution distributors," discarding some, merging some, and training others—cooperation problems will inevitably arise, leading to refusal to deliver. Moreover, deep distribution is not just about solving product delivery issues; it is about separating sales and delivery, allowing companies and distributors to operate under a unified system, each doing more specialized work and collaborating better. Therefore, order quantity or order count acquisition, delivery area division, delivery support, and distributor profitability must all be systematically considered. 2. Communication Issues Between the Company (or Salesmen) and Distributors After being transformed into delivery providers, distributors may feel that the company's management has deepened, replacing some of their original market functions. They may have a strong sense of crisis and thus resist the company. However, as businesspeople, they cannot immediately refuse to sell the company's products out of spite. In practice, they often express dissatisfaction by not delivering, delaying payments, or engaging in cross-region selling. In such cases, the company must do a good job of communication, making distributors feel that the company is genuinely helping them—helping them do market development, grow, manage the market, become outstanding in the competitive distribution channel, and cultivate core competitiveness. The entire delivery process should be mutually beneficial and supportive. At this point, it is crucial not to let distributors feel they are becoming a "vulnerable group." Through communication and training, they should realize that following the company's new marketing model makes it easier for them to succeed alongside the company. One hallmark of deep distribution is that distributors have visibly improved and their relationship with the company has become closer. If the communication issue is between the company's salesmen and distributors, the sales supervisor should resolve it. Here are some common solutions: