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Dealer Operations articles

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Dealer Operations

If You Only Distribute Products Without Follow-Up Actions, Products Won't Move—What's the Use of High Distribution Rates?

P&G once said: 'Even if you have the best product with the best advertising support, if consumers can't buy it at the point of sale, you won't make the sale!' The importance of terminal distribution is self-evident, but distribution isn't something a company or distributor can just do smoothly. Factors like the product, the capability of distribution staff, and terminal resistance determine the outcome, but the most critical element is having the right distribution strategy and tactics. The right approach leads to success; with the right strategy, half the work is done, and with the right tactics, distribution will naturally follow.

缪金宾
Dealer Operations

From CAS PhD to Huawei Senior Consultant: Why Did He End Up Willingly Becoming a 'Handler'?

1. From a PhD at the Chinese Academy of Sciences to a senior consultant at Huawei, why did he finally willingly become a 'handler'? 2. Why did this B2B platform take over a year to expand from one market to another? 3. Why was it able to become the first B2B platform to hold regional outsourcing rights for Coca-Cola? In 2017, New Distribution organized a survey visit to 22 major cities across China, systematically investigating the coverage, penetration, supply chain organization capabilities, platform operations, delivery capabilities, and service visits of various FMCG B2B platforms in different regions.

刘少德
Dealer Operations

Distributors Always Failing to Make Money? The Biggest 'Loophole' Might Be Inventory Issues...

Inventory management is a key component of a distributor's own operations; it is not simply about using a generic system for inventory tracking or stocktaking. What is inventory management? Simply put, it is the distributor maintaining reasonable inventory levels of agency products, reducing the occurrence of soon-to-expire or expired products, and maintaining reasonable purchase quantities based on product flow speed and inventory levels. Distributors/manufacturers face warehouse management drawbacks such as inaccurate inventory counts, lack of basis for stocking, and poor coordination between warehouse, finance, and sales.

New Distribution
Dealer Operations

It's Easy to Inflate a Distributor's "Belly," but Being a Responsible Manufacturer Is No Simple Feat!

Some manufacturers, lacking know-how in market activities and sales expansion, blame their distributors and force them to stock up just to improve data reports. They only focus on pushing inventory, setting sales targets, and collecting payments, ignoring whether products actually sell through. True responsibility means helping distributors and retail terminals sell products to consumers through proper planning, hands-on implementation, and timely review.

New Distribution
Brand Marketing

Amazing IP: What Makes a Distributor Earn a Million in a Year?

Peppa Pig has taken the world by storm, and one distributor in Chongqing earned a net profit of one million yuan in a year by distributing food products featuring the animated character. This article explores the power of animation IPs, the reasons behind their success, and the implications for distributors selecting products.

New Distribution
Dealer Operations

The Ten Types of Manufacturers That Distributors Fear Most! Have You Encountered Them?

This article lists ten types of manufacturers that distributors fear most, including those that bully smaller distributors, shift all risks onto distributors, and impose unreasonable policies. It highlights common grievances and advises distributors to be cautious.

New Distribution
Dealer Operations

Tissue Paper Industry Again Sees Love-Hate Drama: Prices Rise for You, Downstream Distributors Are Already in Tears

Leading tissue paper companies Vinda International's 'Vinda', Hengan International's 'Xinxiangyin', and Gold Hong Ye Paper's 'Breeze' have recently issued price increase notices. International pulp prices have surged 47% in the past year, making it difficult to control tissue paper price hikes in the near term.

New Distribution
Brand Marketing

E-Distributor Sells Out Brand's 60-Day Inventory in 10 Minutes, Achieves 5-Fold Annual Sales Growth

During the 2017 Double 11 shopping festival, Retail Link's daily transaction volume surged 177 times compared to the same period last year. Behind this massive volume lies a group of low-profile online distributors, known as TP merchants or E-distributors, who rely on the Retail Link platform. New Distribution recently interviewed Wukong, CEO of Shanghai Yulu Ren Industrial Co., Ltd., one of the top five TP merchants on Alibaba's Retail Link, to explore how this internet-based distributor leverages the platform for FMCG agency business and how he views the differences between internet-based and traditional offline distributors.

新经销100人
Dealer Operations

From 0 to 10 Million in Sales, and Beyond: Hurdles Distributors Must Overcome

Distributors face several sales hurdles, including 10 million, 30 million, 50 million, and 100 million yuan. The main reasons for stagnation include the boss's and executives' limitations, poor product selection, and lack of employee motivation.

New Distribution
Dealer Operations

Is the Traditional Distribution Model Coming to an End? Xi'an Baihui Achieves Annual Sales of 300 Million with the '1+N' Distribution Model!

The most intense competition is war, and the key to victory is speed, from early clubs, swords, and bows to modern guns and missiles. The purpose of organizational restructuring is to enhance flexibility and rapid response to frontline markets. Shaanxi Baihui Trading Co., Ltd., a comprehensive trading company with six branches in Ankang and Xi'an, manages nearly 4,000 SKUs, employs 700 people, and achieves annual sales of nearly 300 million yuan. Recently, New Distribution interviewed its general manager, Nie Biquan, to discuss his internal partnership mechanism and his thoughts on the internet era.

新经销100人
Dealer Operations

Basic Process for Distributors Developing New Outlets

Distributors rely on downstream customers for their livelihood, and the quantity and quality of these customers largely determine overall sales performance and profit contribution. Development of downstream customers is an ongoing process, as few distributors achieve 100% coverage and the customer base is dynamic with new stores opening daily. However, actual development efforts are often simplistic, lacking systematic planning and processes, leading to low efficiency and high mortality rates among new outlets.

潘文富
Dealer Operations

All Distributors, Why Can't You Outperform Him?

This article explores why some distributors thrive while others struggle, outlining six stages of a distributor's growth and the key qualities needed at each step, from product selection to channel management and beyond.

黄润霖
Brand Marketing

Giving Up Agency for First-Tier Brands Like Red Bull and JDB, Transforming into Unified Warehousing and Distribution, Now Listed on the NEEQ: Who Says Distributors Can't Do B2B!

In March 2017, Jiangsu Huashang City Distribution Network Co., Ltd. was listed on the NEEQ, becoming a pioneer among FMCG city distributors entering the capital market. Previously, Huashang was one of Wuxi's largest distributors, representing brands like Mengniu, JDB, C'estbon, Nongfu, and Red Bull. However, in 2015, Huashang proactively de-emphasized its agency business to focus on logistics distribution for FMCG, a move seen as incredible by others but considered by Huashang as seizing future development trends. Recently, New Distribution exclusively interviewed Wuxi Huashang's Chairman and General Manager, Rong Jun.

新经销100人
Dealer Operations

Why Are E-commerce and Traditional Manufacturers Both Calling for the Elimination of Secondary Distributors? What Did They Do Wrong?

Each stage has its own focus; as the saying goes, heroes are made by the times. Secondary distributors have had their past glory and now face their own difficulties, but it is premature to say they are completely unnecessary. Once indispensable for new product launches and township network coverage, they are now being targeted by e-commerce and manufacturers alike.

唐江华
Dealer Operations

Manufacturer-Dealer Conflicts? It's Your Business Cooperation Model That's the Problem!

Cooperation with dealers is an unavoidable part of business operations, and its importance directly relates to the transfer and realization of commercial interests. Despite the necessity of manufacturer-dealer cooperation, conflicts are common, stemming from mismatches in business models and values, which can be resolved through effective integration of both parties' business models.

张戟
Brand Marketing

In Practice: Just These 12 Steps, a Novice Sold New Products Worth 3 Million!

Boss Zhang, a food distributor in Nanjing, primarily handles Mengniu milk and local snacks, with annual sales around 30 million yuan, 70% from milk. Due to short shelf life and low profits, he chose a sauce-flavored liquor brand from Maotai Town, Guizhou. With effective market promotion and manufacturer support, he achieved sales of 3.68 million yuan in the first year.

刘杰
Dealer Operations

Jiangsu Niulanshan Distributor Builds Its Own B2B Platform, Onboarding 50,000 Outlets in One Year, with Annual Sales of 300 Million!

Caizi Trading Company, located in Nanjing, Jiangsu, is the brand operator for Niulanshan, covering five cities in Jiangsu: Nanjing, Yangzhou, Taizhou, Zhenjiang, and Yancheng. In addition, Caizi Trading has actively developed the 'Niudianshang' B2B platform, which now has nearly 50,000 registered outlet users. Recently, New Distribution interviewed Zhu Guorong, Chairman of Caizi Trading, to learn about his operational insights as a regional 'Niu merchant' and how he responded to the rise of the internet.

袁来
Dealer Operations

Whose Rice Bowl Can Distributors Snatch?

In the 21st century, the internet dominates. The impact of the internet economy, especially e-commerce, on offline channels, particularly distributors, has been profound. Once dominant in the era of mass distribution, distributors have become a vulnerable group overnight. Every move by the internet seems capable of destroying the barriers they built over decades, akin to a droplet in Liu Cixin's 'Three-Body Problem' that can crush any high-tech developed by Earth's civilization.

黄润霖
Dealer Operations

Salespeople who "grind" with customers are doing business with them!

In market sales, from channel distributors and retailers down to mom-and-pop stores, negotiation with customers is inevitable, and the essence of negotiation is bargaining. Salespeople should not be annoyed by customers' persistence, as it's their nature. For instance, when pushing inventory, if you ask a customer to pay 500,000 yuan for goods, most will come up with every excuse. First, never believe a customer who says "business is bad," because customers are experts at playing poor. Over a decade in sales, I've seen customers trade their old Xiali cars for Bentleys.

土拨鼠跟我走
Dealer Operations

Payment Collection Is More Important Than Sales! The Right Mindset for Distributor Salespeople!

Some salespeople are eager to make sales and adopt a low-key attitude towards transaction terms, especially payment collection, leading to problems when collecting payments. Educating staff that 'payment collection is important' and 'chasing payments is difficult' can prevent unnecessary receivables. The article emphasizes the importance of cash transactions, the difficulty of debt collection, and provides strategies for effective payment collection.

New Distribution
Dealer Operations

Product Innovation: Moving from B-end Products to C-end Products!

The article discusses the boundaries between B-end (channel) and C-end (consumer) products, arguing that B-end organizations are street-sweeping while C-end organizations are people-sweeping. It explores why B-end products fail in C-end markets, how C-end organizations can sell B-end products, and the key differences between the two, offering strategic advice for traditional FMCG companies.

方刚
Brand Marketing

How Can Distributors Advance the Launch of Strategic New Products?

For manufacturers, one of the values of distributors is helping them distribute new products to local retail outlets. For distributors themselves, sales growth, channel stimulation, product structure optimization, and maintaining market activity all depend on introducing new products. However, launching new products is not easy, and a boss's confidence is often affected by factors such as fear that employees won't push the new products, concerns about terminal acceptance, high distribution costs, or slow sales leading to returns. The key is proper planning and preparation before the launch.

潘文富
Brand Marketing

How Can Distributors Effectively Launch New Products and Make a Splash? Here Are Three Key Points!

Key Point 1: Distributors must be willing to promote. As a crucial part of new product promotion, the distributor's promotional philosophy and marketing actions significantly impact the success of a new product launch. Distributors must fully recognize the value and role of new products in their growth; new products not only offer strong profitability but also optimize product portfolios and enhance operational safety, making them essential for survival and development. Therefore, distributors must remove obstacles to new product operations, stimulate sales potential, and do their utmost to ensure successful promotion.

New Distribution
Dealer Operations

It's Time to Teach This Generation of Distributors How to Cultivate Successors!

For the vast number of first-generation distributor bosses, how to cultivate a suitable successor is a topic that requires careful consideration. As the first batch of 'century babies' reach adulthood, distributors must plan ahead, bridge generational gaps, and provide hands-on training to ensure a smooth transition.

陈栋