How Dealers Reshape Market Positioning
Topic 1: is a dealer a porter?
In most enterprises, channel marketing is an essential part of the new product listing plan. How to fully mobilize distributors and wholesalers' willingness to sell at the beginning of the listing has become the key to the success of the product listing.
Examining the sales expenses of domestic manufacturers, we will find that the annual promotion cost of the enterprise (purchase reward, price discount, rebate, etc.) is much higher than that of the enterprise, so how to ensure the price order of the products can make the owners at all levels earn money. As long as every channel boss is willing to sell my products, the sales volume will rise steadily.
A world's leading beverage company has entered China in the early years. In accordance with past marketing experience, it has skipped the main channel of domestic distribution market wholesale market at a large cost of marketing, and quickly launched huge sums of money to form a direct selling team, distributing products directly from manufacturers to retail stores and stores, and intends to implement the marketing idea of "flatten channels and increase factory market control power".
The market has educated these foreign experts. After years of losses, the company has to adjust its marketing direction and concentrate its efforts on the wholesale market.
Through the extensive establishment of distribution points to expand the coverage of products, and finally achieved success.
As for the direct selling team of the factory, it is still set up. However, the task of this team is no longer to sell products as the leading factor, but to improve the distribution rate and enhance the terminal display and vivid performance of the products as the main objective.
According to statistics, in the peak season of beverage sales, the products sold by the factory direct selling team, which were built by the company, accounted for 5% of the total sales of the enterprise. The construction of distribution and wholesale links increased the sales volume of the company by 95%.
Why is China's wholesale access so important?
Constrained by factors such as economic, cultural and commercial mechanisms, China's consumers are not mature enough to be rational.
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Loyalty is not high, and it is easy to be influenced by speculation. What is popular in the market?
The old wizard of this line knows that if a product wants to go on the market successfully, it is necessary to quickly form a visual impact rate to create a popular atmosphere, and the two is to maintain such a distribution rate and maintain the trend of popularity.
However, in China, the cost of road pportation is high and the area is vast. The consumption group with real consumption capacity is not concentrated. Supermarkets, such as supermarkets and large scale stores, have just been born, and a large volume of sales has come from tens of millions of small retail stores.
Relying on the strength of manufacturers to sell goods at such a large number of outlets, and maintain logistics, will surely "die".
Without the active participation of wholesalers at all levels, it is impossible for manufacturers to create popularity and maintain popularity, that is, the characteristics of the domestic market, especially the consumer goods market.
1, consumers are not rational enough to buy what is popular in the market.
2, selling points scattered, not relying on the strength of wholesale links, can not cover the main source of sales, tens of millions of terminal outlets, but can not create popularity to guide consumers.
If the manufacturer wants to be based on the market, we must distribute the products through distributors and wholesalers, expand the coverage of the products, and can effectively mobilize the enthusiasm of dealers and wholesalers at all levels in the channel cooperation. To a great extent, the enterprises can survive - in China, the power of the wholesale channels can not be avoided, irresistible and irreplaceable!
It is precisely because of the manufacturer's demand that the wholesalers and distributors' survival foundation and commercial value are laid down.
The value of wholesalers is actually not sales, products from warehouse to wholesaler warehouse, move to the terminal selling point warehouse, in fact, it is just a pfer of inventory, and does not form actual sales.
The duty of wholesalers is to expand the logistics and achieve the distribution and diversion process of the terminal outlets.
Some wholesalers complained about the low profit margins of the distributors. They said, "we are all cattle and horses. We earn a lot of money. What we earn is a porter's job, and we earn a little bit of a porter."
Unfortunate words!
From the point of view of social division of labor, wholesalers are also the porters in the commercial circulation. The value lies in the diversion rather than the sale. The so-called distribution is the purpose and the marketing is the form.
Topic two, why is the day of wholesalers getting more and more sad?
Time makes heroes.
Many businessmen entered the wholesale field on the basis of their courage, early work and hardship. They enjoyed the differential profits under the planned economic system, and soon became poor.
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The power of agency is that people, cars, and money find business hard to make every day, and money is harder to make every day.
What's the reason?
First, the needs of manufacturers have changed.
In 80s, manufacturers had only three requests for distributors: receiving goods, returning money, and sending goods to large numbers of downstream businesses.
With the maturity of the market economy, especially the entry of internationally renowned enterprises, a high level of market competition has been introduced. Manufacturers have begun to emphasize terminal sales, and intensive distribution has become a popular marketing reform direction.
From the earliest agency system to the later distribution system, to the distribution system, to the intensive distribution, to the sale and sale, and eventually to the factory directly setting up offices and sales branches, the dealer's hands grew longer and the dealer's monopoly distribution area became smaller and smaller, and the advantage of monopoly distribution became weaker and weaker.
&nbs
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