Preface Recently, while chatting with distributors, I often hear comments like: "Others rest, I sell alcohol; others celebrate festivals, I sell alcohol; others take holidays, I still sell alcohol... It seems business is booming and sales are good, but the money in my pocket is not as much as expected!" This phenomenon of "good sales but low profits" is quite common; many distributors are busy but not making money!

Why is this? The key is to increase revenue and reduce costs!

Analyzing the daily work of distributors, it turns out that much of the money earned is wasted on inefficient and high-cost distribution. "Unplanned distribution, unprepared distribution, and random distribution" all waste costs. So, how can distributors achieve low-cost and effective distribution?

Reasonably Optimize Distribution Route Maps Before distribution, the purpose of planning a distribution route map is twofold: to make distribution more economical and to avoid missing any outlets. Here's how to do it:

Principles for Planning Distribution Route Maps (1) Linear principle: If outlets can be arranged on one route, do not separate or branch off. This allows for a straight-line distribution and systematic progress. (2) Point principle: If outlets cannot be on one line, group nearby outlets together within a certain area based on proximity. This point-centered, radius-based distribution saves time and costs, allowing for steady progress.

With a distribution route map, route arrangements become more reasonable and scientific, saving time and costs, thereby reducing distribution expenses.

Mark All Sales Outlets on the Map After designing the route map, mark all sales outlets on it. This makes distribution clear and prevents missing outlets, avoiding route repetition or rework. With a proper route map, distributors can plan their sales areas comprehensively, strategizing from their own base while covering vast territories.

Prepare Well Before Distribution Check Vehicles Before Moving Vehicles are the top priority in distribution. Before distribution, distributors must inspect and maintain vehicles, handling administrative fees and routine maintenance in advance. If a vehicle is checked, detained, or damaged during distribution, it wastes time, effort, and money, and may delay distribution or sales opportunities.

Use Distribution Tools Flexibly Distribution tools are items used on the spot, such as "Daily Distribution Report," "Promotion Redemption Form," "Customer Order," and other relevant documents and forms. Having these ready ensures smooth and organized distribution, making the day's work planned, step-by-step, and efficient.

Standardize and Normalize Distribution Once a distribution vehicle leaves, it is out of the distributor's sight, but it must remain under control. To achieve "eyes everywhere even when far away," distributors must standardize, process, and normalize distribution. This includes:

Operational Standards Distributors must standardize the market distribution tasks of marketing personnel, quantifying and detailing measurable content for supervision. For example: (1) Normal replenishment: supplementing orders at sales points, recommending main products; (2) Display improvement: adjusting shelf displays and stack displays at wholesale/retail stores; (3) New product distribution: recommending newly launched products; (4) Promotion execution: informing about promotional policies; (5) Customer complaint handling: handling expired products and resolving disputes with wholesale/retail stores; (6) Information collection: collecting prices and promotions of competing products; (7) Form filling: filling out daily work forms and promotion forms.

Eight Steps for Distribution Visits The eight steps are the basic criteria to check whether a distributor's salesperson is well-trained and skilled in distribution. Salespeople who execute these steps well often achieve better distribution results. Here are the eight steps: (1) Preparation before entering the store: tidy up appearance; check and update/put up outdoor posters. (2) Good opening after entering: greet politely, find an appropriate time and place to talk with the customer. (3) Check shelf and inventory: check shelf stock, warehouse stock, and special displays, and observe competitors. (4) Merchandising: to place products in positions with more sales opportunities, check customer inventory, adjust stock using FIFO (first-in, first-out), record quantities and ages of expired products, organize off-shelf stock, and place products on shelves to avoid out-of-stock. (5) Sales replenishment: based on inventory, suggest professional orders using the 1.5 times safety stock rule. (6) Promote products: introduce the company's current promotions, promote new categories/brands, and confirm the order. (7) Handle objections: warn store owners about expired products, give clear answers to customer objections within authority, and if unable to decide, tell when to respond. (8) Administrative tasks: put up POP posters, hang banners, record competitor promotion information, say goodbye, and inform the approximate time of the next visit.

Determine Distribution Cycles To sustain good distribution results, distribution must be regular, timely, and continuous, not sporadic. For example, classify downstream customers into A, B, C categories (core, key, and general customers) and determine distribution cycles accordingly.

For instance, core customers may receive distribution or visits once a week, key customers every ten days, and general customers every half month.

Thus, standardizing, processing, and normalizing distribution provides guidelines and rules, maximizing distribution effectiveness.

Pay Attention to Distribution Details Distributors should note the following details during distribution: (1) Wording: Use standard sales talk. Some salespeople are careless, not sweet-talking, and poor at addressing customers, which can negatively affect distribution quality. (2) Forgetting to bring items: Such as promotional items, rebates, discounts, or prizes promised to downstream customers. Such oversights can cause resentment among channel partners, even leading to refusal to unload goods. Therefore, check before leaving to ensure all items are brought. If something is forgotten, sincerely apologize to gain understanding. (3) Salespeople being sloppy: Some salespeople are unkempt, call customers by their first names, sit down immediately, or casually eat customers' snacks, causing silent resentment and harming the distributor's image. (4) Irregular distribution: If the next distribution is unpredictable, customers lose trust and are hesitant to buy, making it hard to build true partnerships.

Distribution is no small matter. To distribute effectively, distributors must prepare thoroughly, continuously standardize processes and content, and pay attention to daily details. Only by focusing on the big picture and starting with small details can distribution be targeted, effective, and low-cost, maximizing profits and continuously improving distribution capabilities.

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