"The Eight Things Distributors Hate Most About Manufacturers" Manufacturers and distributors are comrades in the same trench; only by working together can they achieve great results. Ask yourself, if your distributors can't make money and are struggling, can you still develop well? ◆ ◆ ◆ Product Quality Issues Cause Many Troubles Product quality problems are inevitable, but they bring troubles to distributors. Besides affecting sales performance and customer credibility, there are two points that most annoy distributors:

  1. Few companies can compensate for losses caused by quality issues at full price, especially indirect losses from reputation damage, which are even harder to compensate.
  2. Quality issues lead to consumer disputes. Many small and medium-sized enterprises have small sales teams and, for convenience, delegate consumer disputes to distributors. If the product is hot-selling and profitable, distributors will handle it well; if the product is not competitive and has frequent problems, distributors will soon abandon it. Frequent Changes of Sales Staff, Promises Not Honored Many companies have frequent salesperson changes due to salary issues, development platform issues, management issues, etc. Especially in companies where salaries are based on performance, salespeople make random promises to get distributors to stock more. After they receive bonuses, they leave without fulfilling promises to customers, and the company does not honor those false promises. The most hurt are the distributors. Product Shortages Are Annoying Many companies are not good at coordinating sales and production, causing shortages of some products. When distributors transfer money and find no stock, it is very frustrating. First, the funds cannot be returned; second, they have to adjust their order plans, leading to overstocking some products and zero stock for others; third, when delivering to terminals, incomplete product ranges cause sales decline, while delivery costs do not decrease, so profits are halved. Bundled Sales Are Disgusting Many companies have both hot-selling and slow-moving products. To clear slow-moving inventory, they often bundle them with hot-selling products for ordering. Distributors, being bosses themselves, naturally dislike being forced to do things. Moreover, when delivering to terminals, no one accepts bundled sales. At this point, distributors can only use profits from hot-selling products to subsidize slow-moving ones, reducing profit margins and annoying downstream customers. Forced Payments Are Infuriating Distributors naturally focus on one product, but managing multiple products divides their attention. So many marketing executives like to occupy customer funds before the peak season to force them to exclusively operate their products. Of course, such companies need a good market sales foundation. Although distributors enjoy relatively favorable policies, forced payments still make them unhappy. When higher-profit products appear, conflicts may intensify. Long Delivery Cycles Many companies have delayed deliveries due to complicated shipping processes, long distribution distances, imperfect logistics systems, and capital turnover issues. If a hot-selling product has a long delivery cycle, distributors will be extremely annoyed. For example: A product's truckload value is 100,000 yuan, with a sales cycle of 10 days. The cycle from payment to arrival at the customer's warehouse greatly affects distributor earnings. If the cycle is 2 days, the customer only needs about 120,000 yuan for turnover. If the cycle is 10 days, the distributor must at least invest 200,000 yuan to turn over this product, but the profit is the same, so the return on investment almost halves. Market Expenses Tiered, Sales Support Not Fixed Many companies cannot provide distributors with complete promotion plans, only frameworks, leaving distributors to decide on their own. They also tell them that expense reimbursement ratios follow the ratio of sales volume to sales tasks, and if the task completion rate is below a certain level, expense support is canceled. This seems very suitable for the company: as long as there is sales volume, there is profit, and if tasks are not completed, market expenses can be deducted. But for distributors, avoiding expense risks is an important task. When they are not sure whether they can get reimbursed, they prefer to do fewer promotions or none at all. Over time, competitors will take over your market share, and many products die this way. Excessive Occupation of Distributor Funds Distributors' money is for making profits, not for companies to occupy. In other words, if distributors have limited strength and barely operate your product, if you occupy too much of their funds, it will put them at a disadvantage in sales. -END- The best domestic FMCG distributor learning platform Focusing on providing professional, practical, and actionable tutorials for companies and distributors Committed to helping Chinese FMCG distributors grow rapidly The most professional and practical knowledge base in the FMCG industry Reply with the red number below to get corresponding content Reply with number 1 to view the complete knowledge base | 001 Excellent article selection | 002 Distributor market operations | 003 Terminal visit management | 004 Sales supervisor skills | 005 Sales improvement techniques | 006 Channel expansion | 007 Managing distributors | 008 Distributor development | 009 Distributor internal operations management | 010 Team management | 011 Efficient distribution techniques | 012 Sales manager's eighteen skills | 013 KA operation methods and strategies | 014 First lesson for new salespeople | 015 Internet, brand | 016 Distributor B2B transformation | [Long press QR code to follow]