Become A Magic Weapon For The Distributor To Obtain The Total Distribution Rights Of The Products.

Hubei Jiuzhou Tong Pharmaceutical Co., Ltd. is a large pharmaceutical wholesale enterprise, which operates more than 1 kinds of products. Among them, there are more than 300 kinds of exclusive distribution at provincial level.

In recent years, the company's sales performance has even reached a record high, with sales exceeding 3 billion 500 million yuan in 2002.

Why can it win the favor of manufacturers and obtain the total distribution rights of many products?

What unique tactics does it use to achieve the final sale of many products sold by itself instead of simply "warehouse pfer"?

What is the magic that makes it possible for a large number of two or three tier distributors to take themselves as a fixed purchase channel to "be loyal"?

The reason is that apart from its complete varieties, reliable quality, affordable price, good service and good reputation, the important point is that it has played a brand-new role in medicine wholesalers.

From "receiver", "shipper" and other "setters" role to "sales agents" and "purchase agents", cast their own gold signboards, and form their own brand advantages.

Traditional wholesalers business mode

The wholesale industry is a commercial circulation operation format formed by enterprises in order to adapt to the increasingly fierce market competition and multi-channel, less link, cross regional, cross level acquisition and supply market structure, and deepen the channel reform.

A large number of suppliers and many distributors are linked to supply chain.

This is especially true for large wholesale enterprises.

Because of this, many wholesalers (first class, large scale, the same below) often advocate their own advantages or conduct business negotiations: thousands of manufacturers have reached alliance with our company, and tens of thousands of distributors have established supply and demand relationship with our company.

Unlimited variety, unlimited network, unlimited market, unlimited prospects and business cooperation.

However, what is the current situation of wholesalers?

Survey data show that 90% of wholesalers are "traders", and they only do business on the spot. When purchasing, they are producers who deliver their products to the door. What the producers sell "what they buy" is less than a choice. When they sell, they sell their goods according to their distribution plans and order orders, and customers sell what they sell.

As a result, it is easy to lead to the sale of the best selling varieties in short supply, resulting in the loss of customers; it is difficult to sell, and did not sell, resulting in unsalable products, resulting in backlog of funds.

Wholesalers between producers and distributors, on the one hand, are in a passive "receiving" state when buying, on the other hand, they are in a passive "delivery" situation when they are selling, and have no autonomy or no initiative at all. We can call them the "sandwich cake" mode of traditional wholesalers.

The "sandwich cake" mode of traditional wholesalers

Role change does not wait for me.

First of all, upstream manufacturers demand the final sale of products.

With the maturity of the market, especially the entry of well-known international enterprises, the high level of market competition means has been introduced, and the manufacturers' demand for dealers has been improved, not only to receive, return money, and send goods to a large number of households downstream.

Manufacturers began to emphasize terminal sales, so that distributors can achieve "final sale" instead of "inventory pfer".

Wholesalers must carefully nurture the products they sell, care for their children, and make intensive efforts in the target market so that they can break through and survive in the cracks. Otherwise, the dealers' monopoly distribution areas will become smaller and smaller, and the advantage of monopoly distribution will become weaker and weaker. The distribution rights of products, especially the new products, will eventually be recovered by picky manufacturers.

Second, downstream distributors are required to purchase goods, and they are able to take steps in good quality and low price.

If wholesalers sell products that are low in price but not in variety, they will also allow distributors to buy everywhere and increase the purchasing cost of distributors.

From this level, the optimization of product mix is of the same importance as reducing the supply price.

Wholesalers' operation of "what to sell" is far from meeting the procurement requirements of distributors in a variety of ways.

Collecting distributors' product demand information instead of distributors purchasing and storing as distributors' purchasing agents is bound to be more and more favored by distributors.

Moreover, the structure of the circulation industry has changed.

Self selected hypermarkets provide ample goods and low quality services, and 24 hour convenience stores provide convenience for residents in the residential areas.

The rapid growth of commodity supermarkets, large scale, low price, variety, strict management and high standard of service have become another competitor of wholesalers.

Before the wholesalers, there were strong enemies: the intensive distribution policy of the manufacturers, followed by the pursuit of troops: the new supermarket channel; the new market game rules put forward a new survival topic for the wholesalers.

New role

If a wholesaler wants to get rid of the passive "sandwich cake" mode, he must complete the two roles Transformation: from the "receiver" to the "purchase agent", and from the "shipper" to the "sales agent".

1. For offline customers or distributors, wholesalers should be distributors' products "buying agents" rather than simple "shippers" (distributing products to distributors).

Wholesalers must try their best to reduce the blank space in the variety structure if they want to satisfy the distributor's purchase demand to the maximum extent. This requires wholesale to change the status quo of "what to sell" and "buy what" they sell, seize the initiative to purchase, closely integrate the distributors' demand information, and purchase and store products according to their needs.

Admittedly, distributors and wholesalers are not necessarily able to make money, but there is no phoenix tree for them.

A complete variety allows distributors to buy goods one step at a time and avoid the toil of running around.

Besides, this breed does not make money. Is that breed not profitable?

This is why some smart wholesalers do not make money or even lose money in running certain breeds.

Therefore, wholesalers should try their best to pform them from "shippers" into "buying agents" to buy and store products for them.

Scale effect from "shipper" to "buying agent"

Two, for on-line customers or producers, wholesalers should be producers' "sales agents" rather than manufacturers' warehouses, that is, "collects merchant" (to collect products from various manufacturers only).

Capital is one of the three major resources of enterprises, and for commercial wholesale enterprises, capital is more important.

The backlog of funds is often the shadow of unsalable products.

Many wholesalers have unconcerned attitude towards their unsalable products: 1, my warehouse area is very large, and more goods are loaded. 2, even if the warehouse is not loaded, I can also find the manufacturer to return it unconditionally because we have a prior engagement.

In fact, this is a kind of performance which is not responsible for oneself and others. Let's imagine what kind of impact the backlog will bring to the operation of our enterprises.

It is only cash flow difficulties, business constraints, low efficiency, and for manufacturers, unsalable products are very easy to lead to product expiration timeout, spot products have to be scrapped, which is a waste of resources.

Therefore, wholesalers must establish their own marketing networks and teams, enhance their ability to distribute and distribute products, change the natural sales status of what the distributors "buy" and "sell what", take the initiative to attack, go deep into the market, publicize and promote products for their distribution and agents, and create a sales situation of "a home for a hundred families".

Scale effect from "receiving merchant" to "sales agent"

From "shipper" to "buying agent", from "receiver" to "sales agent", wholesalers have extended their service function in a completely new role, completely getting rid of the bondage of "sandwich cake" mode.

This change is passive to the active new wholesale mode, we may call it "watershed" mode and wholesaler's "watershed" business mode.