NEW DISTRIBUTION RESEARCH TOPIC
How can distributors keep growing across fragmented channels?
Front-line analysis of product selection, organization, channel strategy, profit models, and business transformation for FMCG distributors.
Related research and analysis
4623 articles · Page 186 of 193
Distributors: How to Retain Key Employees?
With rising costs and inflation, most small companies cannot afford to significantly increase wages for all employees. The author suggests focusing on retaining the top 20% of key employees by offering them shares, increasing their income, and providing career development opportunities, which has proven effective in reducing turnover.
New DistributionSix Methods for Entering Key Accounts (KA)
This article introduces six strategies for FMCG distributors to enter Key Accounts (KA) or large retail chains, including leveraging strong corporate power, focused display in a single influential store, relationship marketing, top-down approaches, surrounding via small stores, and utilizing local distributors. Each method is illustrated with practical examples to help businesses overcome entry barriers and succeed in modern retail.
New DistributionDistributors, Calculate the Cost of Mobile Sales
Almost every food distributor starts with mobile sales in the early days of entrepreneurship. In a sense, mobile sales is the simplest and most practical sales model, where salespeople visit customers with loaded vehicles, sell and collect payments on the spot, and handle tasks such as advertising material posting, product display, and customer complaints. However, as labor, fuel, and vehicle costs continue to rise, and competition among homogeneous products intensifies, higher demands are placed on distributors' terminal operations. Many distributors complain that mobile sales costs are too high and efficiency is low, leading to thin profits or even losses. But the root cause is often poor management during mobile sales or that the current business situation is no longer suitable for this model. So, how should distributors adjust and improve their sales models to maximize profitability?
New DistributionThe Model Dividend of Deep Distribution in China Has Reached Its End in 2014
Since 2002, deep distribution has been the mainstream sales model for Chinese consumer goods, especially FMCG. However, by 2013, the demographic dividend that underpinned this model had reversed, leading to diminishing returns and rising costs. This article argues that the model's inherent flaws—large front-end, small platform, and weak system—have ended its dividend, and proposes a shift to a system distribution model characterized by small front-end, large platform, and strong system.
史贤龙3 Ways to Remove the Three Big Stones Pressing on Distributors: Inventory, Wages, and Fuel Costs
As market competition intensifies, the FMCG industry has entered an era of thin profits, with downstream costs rising faster than GDP growth. Distributors face declining market capacity and increasing operational costs, but by implementing modern management systems—such as route planning, outlet classification, online management, and standardized visits—they can cut inventory, fuel, and labor costs to improve profitability.
New DistributionTips for Controlling Promotion Costs
Promotions are a powerful sales tool, but they usually cost money. Suppliers naturally want to spend less and achieve more, so how to minimize costs while maximizing promotional effectiveness is a common goal. Since retail promotion resources are scarce, retailers will try to raise the 'threshold' for promotions to extract more benefits from suppliers. Therefore, suppliers should design their promotional plans from the retailer's perspective, using 'limited quantity' to stimulate buyer expectations and 'exchange' methods to reduce their own costs.
New DistributionPitfalls in 'Agency Contracts' That Distributors Must Guard Against!
Disputes between manufacturers and distributors often arise from the manufacturer's failure to fulfill contract terms or exploiting loopholes. Since manufacturers typically provide the contract template, they tend to have the upper hand in disputes. To minimize risks, distributors must carefully negotiate key contract terms before signing.
New DistributionMotivating Salespeople with Clever Betting Techniques
This article discusses how distributors can use betting techniques to motivate salespeople, drawing on the biblical story of the talents to illustrate the Matthew effect. It outlines setting stakes, creating a prize pool, and public award ceremonies, and advises on which products and timings are suitable for such bets.
New DistributionPromotion Strategies for Terminal Outlets
This article discusses various promotion strategies for FMCG terminal outlets, including single-product buy-one-get-one offers, product bundling, physical gifts, cash rebates, box recycling, display rewards, and more, emphasizing the importance of tailoring promotions to market conditions and avoiding overuse that can harm brand value.
朱志明The Twenty-Character Core of Negotiation Skills
Negotiation skills can be summarized in twenty characters: 'Advance step by step, lure gradually, be polite and measured, neither humble nor pushy, and strike in time.' This article elaborates on these principles, emphasizing careful planning, patience, respect with principles, and seizing opportunities to close deals.
New DistributionRejection: The True Beginning of Sales
After graduating with an environmental protection degree and struggling to find a related job, the author decides to switch careers and applies for a regional sales manager position at a major home appliance company. Despite facing rejection and disdain from the recruiters, he persists in presenting himself, ultimately getting hired and learning that the company intentionally tests candidates' resilience to rejection, as it is a crucial trait for sales.
New DistributionDistributors: There Are Tricks to Distribution and Sales
For many baijiu distributors, product distribution can be done quickly, but market activation after distribution is slow. Once products don't sell, it leaves a bad impression on retail outlets, affecting customer relationships and making it hard to distribute new products later. Terminal sales after distribution is a key indicator of a distributor's performance.
New DistributionHow Should Distributors Handle the Headache of Increasing Sales Targets?
A distributor named Xiao Xu is worried because his renewed contract sets a significantly higher sales target than last year, while market expense support from the manufacturer seems to be shrinking. To cope with annually increasing sales targets, distributors must build their own sales channels and distribution networks to reduce dependence on the manufacturer and gain a stronger position.
New DistributionThe Road to Self-Built Retail Terminals for Distributors
Distributors are increasingly building their own retail terminals to control the market and escape the pressures of traditional channels. This article shares case studies and discusses the challenges and key success factors for such ventures.
朱志明The Manufacturer-Dealer Debate: Who Really Owns the Market?
When a manufacturer partners with a local dealer to operate a regional market, who actually owns that market—the manufacturer or the dealer? This question often lies at the heart of disputes between the two parties, as each believes they are the rightful owner and leader, leading to conflicts and misunderstandings.
潘文富Joe Girard: The '250 Rule' for High-Efficiency Sales
A satisfied customer can bring you 250 potential customers, while a dissatisfied one can create 250 potential enemies. Joe Girard, who became a car salesman after bankruptcy, discovered this simple yet powerful rule and used it to build a successful sales career.
New DistributionPromotional Killer Move: The Dilemma of Product Bundling
Bundling is a common promotional tactic, but it doesn't always work. According to prospect theory, combined payment reduces pain, but when products of different price tiers are bundled, consumers may value the bundle less than the expensive item alone, a phenomenon known as subtractive valuation. To avoid this, retailers should avoid bundling products from different price categories, price items separately, and guide consumers to focus on non-price factors.
New DistributionDistributor Selection Strategy
Many distributors develop external markets by sending a delivery truck to periodically visit several counties/cities to drop off goods, with sales staff earning commissions based on sales. While this approach is quick and simple, it often leads to problems such as price confusion, low sell-through rates, poor display effectiveness, and stockouts. The root cause is the lack of a unified market manager. Selecting a suitable distributor to centralize supply, while the upstream distributor still provides vehicles and personnel for periodic visits to help with distribution and market maintenance, can solve these issues. The distributor is granted local "general agency" rights, making market maintenance directly tied to their interests, thus ensuring dedicated efforts. Choosing the right distributor is crucial for market development success.
New DistributionOpportunities and Threats Facing Traditional Industries
An increasing number of traditional enterprises are planning transformation, yet they face a severe crisis as they lose their bearings in the Internet era. The biggest crisis is not current profits but the ability to clearly grasp the future, as traditional marketing loses its momentum and transformation poses risks.
New DistributionDistributors That Don't Launch New Products Never Grow!
Distributors who only sell mature products won't succeed. Launching new products is key to growth, as it brings manufacturer support, higher margins, better channel utilization, and new channel expansion. Successful new product launches also offer opportunities for second-time entrepreneurship and enhance a distributor's reputation.
New DistributionHow Should Second-Tier Distributors Transform?
This article discusses the historical evolution and current challenges of second-tier distributors in China's FMCG industry, and proposes two transformation paths: upgrading to first-tier distributors or controlling rural retail terminals.
New Distribution17 Negotiation Tips for Salespeople
This article provides 17 negotiation tips for salespeople, emphasizing thorough preparation, understanding the other party's authority, negotiating on home turf, maintaining a professional demeanor, and using data to support arguments. It advises against showing too much interest, suggests controlling the negotiation pace, and stresses the importance of not settling for a 50/50 split when better terms can be achieved.
New DistributionWhy Do Distributors Misappropriate Manufacturer Funds?
Among the various accusations manufacturers level at distributors, misappropriating manufacturer funds (including materials) often ranks in the top three. There are many ways distributors do this, such as withholding channel promotion resources intended for downstream customers, selling promotional materials as scrap, and inflating entry fees.
New DistributionDealer Employment Principles: Character First, Attitude Second, Ability Third!
In dealer management, cooperation between departments and individuals is inevitable, making the choice of employees and partners a crucial consideration. The article emphasizes that character is the primary principle, attitude is the fundamental second, and ability is the foundational third, advocating for selecting people with integrity and dedication over mere capability.
New Distribution