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Dealer Operations articles

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Dealer Operations

Transforming the Mindset of Distributors

Distributors are feeling increased pressure from sales, capital, warehousing, personnel, terminals, channel costs, and the internet, leading many to wonder if the era of distributors is ending. However, experts argue that while transformation is needed, the channel model still has room to grow, and distributors must shift their mindset from resource control to value creation, branding, and service to thrive.

任立军
Dealer Operations

5 Small Habits to Help You Become an Excellent Communicator!

This article offers five practical habits to improve workplace communication, such as replacing 'but' with 'maybe,' sticking to facts, avoiding defensive stances, using silence strategically, and actively engaging with others' perspectives. These tips aim to help professionals communicate more effectively and build better working relationships.

New Distribution
Dealer Operations

What Age Group Is Suitable for Sales?

This article discusses the appropriate ages for different types of sales roles, categorizing them into efficiency-based and effectiveness-based sales, and provides insights into the optimal age ranges for each, aiming to improve recruitment accuracy.

王建
Dealer Operations

Distributors: What to Do When Terminal Products Are Unsellable

When terminal products become unsellable, all marketing participants—manufacturers, marketers, and distributors—should take responsibility, investigate the market, and find solutions rather than blame each other. This article explores various causes and remedies, including issues with people, product, price, channel, regional habits, and promotion.

王洪东
Dealer Operations

How Distributors Can Overcome the Challenge of 'Further Development'

Under the trend of channel flattening, distributors with already squeezed profit margins face even tougher conditions, struggling to increase sales and expand due to strict regional restrictions. This article, based on the experience of marketing expert Wang Huanzhi, analyzes common growth methods, reasons for failure, and solutions to help distributors break through bottlenecks and achieve sustainable growth.

New Distribution
Dealer Operations

Second-Tier Distributors Are the "Brand Killers"

Second-tier distributors in rural markets survive on profit margins, not brand loyalty, making them a barrier for branded products. To overcome this, manufacturers and first-tier distributors must create profit space for second-tier distributors through regional monopolies, high-entry pricing, and sub-brand launches.

刘春雄
Dealer Operations

How Can Distributors Bargain with Manufacturers?

Negotiation position determines everything in the manufacturer-distributor relationship. Distributors must hold bargaining chips that vary over time, such as prime locations, second-tier wholesalers, or end-market control, and they should know the manufacturer's limits and requirements while also setting their own. If substantive chips are insufficient, distributors can use strategic planning as a key chip to persuade manufacturers.

刘春雄
Dealer Operations

Three Steps to Boost Terminal Sell-Through

Terminal sell-through is the most direct and important indicator of a distributor's success in moving a product after distribution. To address slow sell-through, distributors must improve distribution quality, manage outlets effectively, and enhance in-store presentation, as illustrated by a case study of a liquor distributor.

师顺宽
Brand Marketing

If You Were to Start Your Own Business, Would You Know These Tricks?

As advertisers or marketers, we often wonder what we would do if we started our own small business. This article tells the story of a newspaper-selling old man who used clever marketing strategies to succeed, proving that there are no backward industries, only backward thinking.

New Distribution
Dealer Operations

Distributors: If You Can't Manage People, Who Will Make Money for You?

This article discusses the importance of talent and management for FMCG distributors, emphasizing that effective management is key to business success. It provides practical advice on institutional, humanistic, and differentiated management strategies to build a stable and efficient sales team.

张武子
Brand Marketing

Obstacles for Distributors Creating Their Own Brands

Brand distributors are a type of distributor but differ from traditional ones, as they seize brand management rights from manufacturers. While this path offers higher profits, most FMCG distributors fail in their attempts to build their own brands due to outdated mindsets rather than capital or product issues.

郝星光
Dealer Operations

Large Distributor Scale Does Not Necessarily Mean Profitability: Beware the 'Low-Cost' Misconception

In market operations, distributors often use low cost as a primary expansion niche, achieving low prices and rapid volume growth to accumulate total profits. However, understanding scale profitability solely as low-cost, low-price scale profit is completely wrong. True scale profitability involves expanding market space or business scope as a fundamental strategy to resist competition and secure profits, especially in the best and worst development scenarios.

New Distribution
Dealer Operations

A Major Shift in Distributors' Approach to Talent!

Manufacturers often believe distributors don't know how to use talent, citing nepotism and lack of management systems. However, when distributors attempt to reform, they may face severe consequences, as illustrated by several cautionary tales.

New Distribution
Dealer Operations

Quenching Thirst by Thinking of Plums: Bringing Customers into Familiar Scenarios

This article explains the scenario-based introduction method in sales, using the classic story of 'quenching thirst by thinking of plums' to illustrate how to engage customers by relating product features to their familiar work or life situations. It provides a step-by-step guide and key points for effectively applying this technique, using the example of selling a car's ESP feature.

New Distribution
Brand Marketing

Customers Don't Want Features, They Want Benefits

This article explains the FAB (Features, Advantages, Benefits) method for selling products, emphasizing that customers buy benefits, not features. It provides examples of how to apply FAB effectively by first understanding customer needs and then linking features to specific benefits.

New Distribution
Dealer Operations

How Much Channel Dividend Is Left in China?

China's economic miracle benefits from the demographic dividend, while the miracle of Chinese enterprises benefits from the channel dividend. The channel dividend, which is exclusive to Chinese companies, has been largely overlooked, but it explains how weak local firms could grow rapidly against multinational giants.

刘春雄
Dealer Operations

The Three Steps for Distributors to Develop the Market

Distributors need stable, sustained market growth more than anything else. The process from new product development to a stable market involves three stages: single product breakthrough, forming a product group, and forming a product structure.

New Distribution
Dealer Operations

Four Key Elements for Distributors to Increase Profits

This article outlines four key control points for distributor profitability: average transaction value, number of transactions, average gross margin, and operating expenses. It provides strategies for improving each, such as increasing basket size, attracting more customers, optimizing product mix, and managing costs.

New Distribution
Dealer Operations

The Way for Distributors and Professional Managers to Get Along

A distributor asked why a professional manager he trusted left after less than three months. This article analyzes the management issues in distributor enterprises, the reasons for the difficult relationship between distributors and professional managers, and offers advice on how both parties can work together harmoniously.

New Distribution
Brand Marketing

The Secret Weapon That Established Master Kong's Market Position

Master Kong, having invested in mainland China since September 1988, has achieved remarkable success through over 20 years of effort, including the top market share in instant noodles and tea beverages, and the top share in mineral water in 2009. The key to this success is a comprehensive marketing method, with 'channel intensive cultivation' being the most important strategy.

王冠群
Dealer Operations

How Should Distributor Bosses Give Bonuses to Employees?

This article outlines four principles and three combinations for distributor bosses to effectively distribute bonuses to employees, emphasizing timely, public, cash-based, and well-publicized rewards, as well as balancing open and private incentives, fixed and flexible amounts, and short-term and long-term rewards.

New Distribution
Dealer Operations

The Development Path of Distributors Content to Be Second

Being content to be second means that in a regional market, weaker distributors develop together with stronger local distributors, willingly seeking growth under the leadership of more powerful distributors. This is not about lacking ambition, but about a cooperative model that integrates resources for mutual development. For distributors, allying with strong local distributors can provide support in capital, resources, brand, management, service, and operations, and more importantly, it can place them on a fast and efficient development platform.

朱志明
Brand Marketing

Solid Practical Advice: Attack and Defense Strategies Against Top-Tier Brands

Almost all second- and third-tier companies are seeking the same answer: when facing attacks from national big brands, any novel promotion seems to fail, and defense is full of holes. What should they do? Compared with strong brands, weak companies lack brand power, but brand is only 'momentum'; to convert momentum into 'energy', it must rely on channels and marketing systems as a conversion platform, which is the company's refined management 'internal strength'.

方刚
Dealer Operations

Your Value Never Needs to Be Proven by Complaints

A reminder to click the link above for more marketing and distributor management insights. Even the smallest things have value, and everyone has untapped potential. Don't envy others' fortunes or complain about your unrecognized worth. If you are a pearl, you'll be discovered even in a hard shell; if you're a grain of sand, you'll be trampled on the beach. John, a Stanford graduate, felt undervalued at a small accounting firm and complained to God, who showed him that he was like a stone, not a gold ring, and that he should first conquer himself before expecting recognition.

New Distribution