Anhui and Machang townships have always been our strong markets, with annual sales of over a thousand tons in each. Recently, due to the lure of a competitor and some issues with the distributor himself, the distributor (Zhang) and his salesman (Li) defected to sell the competitor's products. They spread rumors that our company was about to go bankrupt, and under the banner of caring for customers, they replaced all our products with the competitor's. Moreover, they offered each outlet a freezer or 2-5 cases of display allowance, on the condition that they stop selling our products. Overnight, our distribution rate dropped to nearly zero, and the good image we had built at the outlets was completely tarnished. After the incident, the company took immediate action, assigning the distribution rights of the two townships to a nearby distributor and providing some financial support to re-stock the market. Perhaps due to the competitor's heavy investment and the influence of the former distributor, many outlets were intimidated by his "power." After a month, our products were in fewer than five stores. It was at this point that I received a call from my leader, asking me to go there for support, with a strict order to stay for a week and take back the two townships no matter what. This was undoubtedly a challenge, but I have always loved challenges. Without hesitation, I agreed and promised to give my leader an explanation. The next day, I arrived at noon. The salesmen were out, and only the distributor was there. Upon meeting, the distributor complained about the competitor's heavy investment and our lack thereof. I didn't say much, waiting until he finished. Then I took my leave, telling him I would check into a hotel to rest and asking him to notify the salesmen for a meeting that evening. At eight in the evening, the meeting began. I first asked the salesmen who had previously gone to the townships to talk about the situation. They echoed the same points: the competitor's heavy investment and the former distributor's influence. Then I asked each salesman for their opinion. They all had similar views, hoping the company would increase investment. I didn't comment at the time. Without investigation, there is no right to speak; any good tactic should come from the market, not be fabricated or blindly borrowed from others. This is my consistent principle. So we quickly stopped discussing the problem, including not even planning tomorrow's approach. Instead, I talked with the salesmen about their future career development. I shared stories of some leaders and colleagues, embellishing them according to the concepts I wanted to instill. My goal was to inspire them with real examples, to encourage them to face difficulties head-on, until they were full of confidence. Using real stories to motivate employees seems to be my forte. Finally, we discussed topics like how mindset determines life, and the atmosphere became more and more enthusiastic. Each salesman shared their views on sales and why they chose this career. In the conversation, I felt they were all ambitious and idealistic; they chose sales because they were influenced by the saying, "90% of the world's rich are or have been in sales." We talked until 11 p.m., and no one wanted to stop. Considering work the next day, I asked everyone to rest early and instructed them to set off at eight the next morning, with all salesmen going. I wanted to use this opportunity to hone their teamwork and combat effectiveness. The next day at eight, we set off on time. Along the way, we talked about many topics: life, ideals, and everything. Occasionally, we touched on topics young people can't avoid—beautiful women—and even whistled at pretty girls. In the car, I told them to start with our usual methods, keeping the delivery activities unchanged, and giving at most one case of display allowance per month. After bumping along the mountain road for over two hours, we finally arrived at the market. Thanks to the morale boost from last night, they pounced on the outlets like hungry wolves. "Hasn't your company gone bankrupt?" was the first question from the outlets. We explained truthfully, but they refused to believe us, even suspecting we were selling counterfeit goods (which had happened before). Some outlets barely believed us, but because the competitor had given them freezers or display allowances and they had just signed exclusive agreements, and also out of respect for the former distributor, they couldn't stock our products for the time being. Some outlets even felt the competitor's resources were too little or service was poor, but due to face and social obligations, they couldn't turn against him. The people here are truly simple! One outlet, we talked about our policy, but he wouldn't budge. I said to him, "If I give you 10 cases of display per month, will you sell ours?" The salesmen were surprised—10 cases? That's not a small number. Actually, I had another purpose in mind; I didn't really intend to give him that. I wanted to find the real answer. Was it really about resources, or something else? If the outlet agreed, would I really give him 10 cases a month? The reader might ask. Of course not. Using one-tenth of the competitor's cost to tie up the competitor is our consistent principle. I have a complete explanation plan for when an outlet agrees, and it has never failed! If he wouldn't sell even with 10 cases of display, it's not a resource issue. So what is it? As I pondered, I seemed to find the answer, and a complete plan to break the deadlock began to form. In the morning, we visited six customers, and none made a purchase; we even got a cold reception. After one o'clock, I suggested we eat first. At the table, I shared my analysis of why the outlets weren't stocking our products. First, they were mainly hindered by the face of the former distributor. Second, they didn't trust us. Third, our resources were relatively fewer than the competitor's. Fourth, they were afraid of losing the benefits the competitor gave them. To address these issues, I proposed the following countermeasures. First, return like for like. Since the competitor spread rumors to defame our company, we would defame him. We would tarnish his reputation and make the outlets see the truth (even if we fabricated it). Since he no longer distributes our products, the more he explains to the outlets, the more they would believe our claims, and his credibility would be ruined. Second, use a divide-and-conquer tactic to give the outlet owners a reason to defect. People are naturally jealous; seeing others get more than they do creates imbalance and a desire for fairness. Outlet owners are no exception. We would use the fact that he gave different policies to different outlets as a starting point, filming videos of our conversations with outlets, highlighting the differences in resources they received, to stir up conflict. Third, calculate opportunity costs for the outlets, giving them a support point for defection. We would calculate profits for the outlet owners, making them realize the losses from refusing to sell our products. Also, we would tell them that all the competitor's investments are "wool from the sheep's back." Fourth, play the reassurance card, giving outlet owners a guarantee for defection. Adjust the display allowance payment schedule, changing from monthly to one-time payment, with a high penalty clause as a prerequisite. Unify our attire, distribute business cards to every outlet, and quickly build trust. Also, promise the outlets that we will compensate for any benefits they lose by selling our products. Based on these ideas, we crafted a script: Salesman: "Boss, hello, I'm a salesman from XX company. Here's my card." He hands over the card to build trust. Boss: "Hasn't your company gone bankrupt?" Salesman: "How could such a big company go bankrupt? It's like this: the former distributor who sold our products was cheating on expenses, like display allowances and freezers the company gave you—he sold them to you and pocketed the money. Not long ago, our boss came to the market and discovered this. He fired him. The distributor resented our company, so he took on the competitor's products and spread rumors that we were bankrupt, replacing our products with the competitor's to prevent us from selling in the market. This is illegal monopolistic behavior, and your compliance only encourages his arrogance. This kind of person, for his own profit, has no integrity or conscience." Boss: "But I've signed an agreement with him, and he gave me a freezer and 2 cases of display per month. Besides, one must keep one's word. I dare not sell your beer anymore." Salesman: "Boss, why did he cheat on your expenses before? Because there was no competition. Other outlets get 5 cases of display (showing him a video of an outlet with 5 cases), so why only 2 for you? Because you're too obedient and easy to fool. Do you still keep your word with someone like him? Now let me do the math for you. Their product gives you 4 yuan profit per case, ours gives 7 yuan. If you sell 1,000 cases a year, you'd earn 3,000 yuan more with ours. Can't 3,000 yuan buy a freezer like his and 24 cases of beer? And our monthly display allowance is also money, right? Besides, selling our beer doesn't exclude the competitor's; you can sell both. The quality of the beer is judged by consumers, unlike the competitor who forces you to sell exclusively. You've sold our beer before; you know it sells well." Boss: "He said if I sell your beer, he'll take back the freezer and stop the display allowance." Salesman: "Don't let him fool you. When he was selling our products, he also asked you not to sell other brands. Now that he doesn't sell our products, he asks you not to sell ours. He cheated you out of your benefits and still demands exclusivity. Are you really that afraid of him? Besides, we're here to guarantee that if you sell our products and he takes back the freezer, we'll give you one (this is a game with the competitor; usually, they won't offend customers and cut off their own income). And as for the display he promised, he might give it for the first two months, but once his products sell well, who knows if he'll continue. Just like before, when he sold our products, the company had display allowances for you (actually not), but he didn't give them to you, right? Now, if you stock our products, on one hand, you can hint to him to give you more display, like that store over there that used to be exclusive but then stocked our products, and the competitor gave them 5 cases per month. Today, to put your mind at ease, we'll give you half a year's display allowance at once." ..................................................... After hearing my ideas, everyone agreed. Finally, I encouraged them to continue fighting, and they were full of confidence. In less than an hour, we finished our meal, changed into T-shirts we had as gifts, and went back into battle. At the first customer, we saw our freezer, but it was covered with the competitor's POP, barely visible. The boss saw our attire and seemed to understand our purpose. He pulled out some stools for us. After sitting down, we got straight to the point, asking him to stock some of our products and explaining our policy. But the boss seemed hesitant, due to the former distributor's face and the freezer he had received. We went through our script, including showing the video we recorded in the morning. The boss seemed to waver but was still undecided. Finally, I asked, "Boss, was our freezer given to you for free or did you pay a deposit?" He said he paid a deposit (I knew this all along). As soon as he answered, I said, "This freezer was meant to be free, but the distributor charged you a deposit. With such behavior, do you still think he's good to you? It's because of this that we decided not to let him distribute our brand. When he sold our brand, he asked you not to sell other brands; now that he doesn't sell our brand, he asks you not to sell ours. He not only cheated you out of benefits from the factory but also plays the good guy. You've been played by him." The boss got angry. "Yes, I thought the freezer was free from the factory, but when I asked him, he said the factory required a deposit. We were all fooled." "Exactly," I continued, "We used to have monthly display allowances for you (actually not), but did you receive them?" He said no. "Right, it's because he often cheated you out of your benefits that our company discovered and stopped working with him. He cheated you out of hundreds of thousands every year. We don't want such a distributor. Today we're here, and we'll give you half a year's display allowance at once, unlike them who pay monthly and may not pay at all. Also, their company gives an average of 5 cases per month, but he only gives you 2. He must be pocketing the other 3." I showed him the video. "So, boss, don't be fooled by him. Stock some of our products." "What's your current promotion?" the boss asked, his tone softening. "We have a 30+2 deal, with high profit. It's better than his, and today we'll also give you half a year's display allowance at once." Without hesitation, the boss ordered 20 cases. As we unloaded, we secretly filmed it. This one was won. The next few stores were also won one by one, proving our strategy was correct, and everyone's confidence was restored. In the afternoon, using the same strategy, we attacked hearts and took stores. By six o'clock, we had won over 80% of the customers in Anhui Township and sold over 300 cases of beer. On the way back, we refined our strategy in the car, such as how to identify the competitor's loyal customers or relatives and corresponding countermeasures. The next day, since other areas had many terminals requesting goods and it was the end of the month with heavy tasks, I asked the other salesmen to return to their posts. Xiao Wu and I, along with a driver, went to Machang Township to continue breaking ground. Although there were fewer people, we were still cheerful and talkative. At the first customer, we easily sold 50 cases using yesterday's strategy. A good start, and we expected good results today. At the second customer, the boss, surnamed Wen, was a wholesale-type customer who also distributed the competitor's products; in some remote areas, he almost exclusively delivered for them. When we entered and mentioned our beer brand, he rudely told us to leave. Giving up easily is not my style, so we found stools and sat down. He perhaps realized our determination and started telling us his situation. He said he was a distributor for the competitor and had signed an agreement, so he couldn't sell our products. More importantly, he and Zhang had been friends for over 20 years, starting their businesses together. Now Zhang was a multimillionaire, and he couldn't afford to offend him or lose an old friend over a few display allowances. In the conversation, I felt this boss was very trustworthy and loyal. "Oh, I see," I echoed. "Boss Zhang really knows how to do business; in 20 years, he's made millions. But it's natural, since he cheats our company out of 200,000-300,000 every year, not to mention other companies' expenses." "Cheats your company?" the boss asked in surprise. "Yes, he stopped selling our products because he was caught cheating and was fired by our company." I showed him the prepared video. "What's worse, he cheats you out of your benefits and still plays the good guy. He's smart, but it's normal; he has that kind of business philosophy. In his eyes, there are no permanent friends, only permanent interests. Credit and loyalty mean nothing to him; otherwise, why would there be problems with our cooperation? Unlike you, you're loyal, but your business can't compare to his. In his view, business is for making money, not for feelings or loyalty. Boss, do you think I'm right?" My tone was a bit harsh, but the boss seemed to take it in, and his attitude softened. "Boss, it's really a good deal to stock now, and we're also planning to find a distributor here. Distributing our products is more profitable than the competitor's, and we offer exclusive authorization with regional protection. Why don't you order some today, and if you find our products good, we can discuss distribution later." Xiao Wu seized the opportunity to recommend our products. "Alright, I'll order a few cases today. I admire you guys," the boss said, not unkindly. "Let's do a group, then. We have a 30+2 deal." Xiao Wu had already called the driver to unload the goods... And so, Boss Wen was won over. In one morning, we easily won over 10 customers and sold over 200 cases. At noon, due to the heat and the truck being nearly empty, we had lunch and rested at a restaurant for about an hour. It was more like a meeting than rest, as we kept studying how to win over terminals. At three in the afternoon, the sun had weakened, and it was cooler. We started our actions. With the successful experiences from yesterday and the morning, everything went smoothly. However, one terminal gave us a hard time. The owner was a woman in her thirties, quite attractive, with a full figure, fair skin, and rosy cheeks. Despite her beauty, she wasn't easy to approach, perhaps because of her looks. No matter how we talked, she coldly refused. Seeing her cold and beautiful expression, a mischievous urge arose in me. "Boss, how many years have you been married?" The boss was stunned by the unexpected question but said, "Why do you ask?" I didn't answer directly but said, "Boss, before you were married, weren't there many boys courting you? Today Zhang San invites you to dinner, tomorrow Li Si gives you gifts, the day after Wang Wu asks you to a movie—a bunch of men around you. Why did you marry your husband? Because he was good to you. Why was he good to you? First, because you're beautiful, his type. Second, because there was competition; if he wasn't good to you, other men would be. Now that you're married, since you're his woman, he's become increasingly indifferent, maybe even has a mistress. Similarly, the competitor is nice to you now, giving you a freezer and display, because we're competing. If you listen to him and refuse to sell our products, it's like marrying the competitor, and he'll think you're an easily satisfied woman, so his support will dwindle." I said this almost in one breath. "Our leader is right, boss. Look at the store next door; the competitor gives them 5 cases of display, and they still sell our products," Xiao Wu chimed in, showing her the video of terminals stocking our products. "How much per case? What's the promotion?" the boss finally relented. "Our current promotion is ** yuan per case, with 30 cases getting 2 free. We also give you a monthly display allowance, and we'll give you the second half of the year's allowance at once, unlike the competitor who pays monthly and may stop later..." Xiao Wu rattled off our offers. "Alright, I'll take 30 cases, but if they don't sell, I'll return them," she said. "No problem," Xiao Wu replied cheerfully. Within five minutes, the goods were unloaded, and we helped set up the display. ............................... The truck was empty on the way back. Xiao Wu suddenly asked me, "Brother Chen, do you want that beauty's phone number?" "What would I do with it?" I replied, a bit embarrassed. Xiao Wu smiled and didn't answer. Xiao Wu is very considerate, and he'll go far. But this time, he was daydreaming for me, because I'm not that kind of person. Haha... In the evening, we had a brief meeting. As soon as we met, the other salesmen came over smiling. "Brother Chen, we sold 2,000 cases today!" "Great, great," I praised them. At the meeting, we further summarized and refined our script, shared some successful cases, and the meeting went on late. We even had some drinks, and everyone was tipsy before leaving. The next day, I went to the distributor's place. Xiao Wu and the others had already gone to the market. The distributor saw me and said happily, "Sales have been good these days. Today, I plan to order 300,000 yuan worth of goods." I had come to discuss stocking, as my leader had instructed me to ask him to stock, but he brought it up himself. Then I discussed market operations and personnel management with him, and he agreed with everything. The distributor seemed to see hope and confidently expressed his commitment to operating our products well. That day, he paid for 100 tent umbrellas for market investment. I knew my mission was accomplished, and in the afternoon, I left County A....... 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Distribution & Channels
Winning at the Point of Sale: The Mouth Is Productivity
In Anhui and Machang townships, our brand once dominated with annual sales exceeding a thousand tons. However, a distributor and his salesman defected to a competitor, spreading rumors and offering incentives to replace our products, nearly wiping out our presence. After a week of strategic countermeasures, including discrediting the defector, exploiting jealousy, and offering better terms, we successfully regained most of the market.
