The key to the success of any manufacturing business is in the relationship of a manufacturer with its distributors. A distribution software is the ear and eyes of a business at ground level. But, at the same time, just like a distributor serves as an exit through which a business reaches its customers, it does not mean that a distributor becomes a particular business employee. With sales plans and objectives, you can suppose that way, but in reality, it has to be both ways in operation.
Distributors, on the other hand, have their own set of requirements, and often these requirements are very demanding. They have to take care of their cash flows and profits and also their reputation in the market, which may have taken years to build.
The equation is very simple: if a manufacturer cannot satisfy the demands of its distributors, they will lose them, as distributors have many options and will be changed to another.
As stated above, it is a two-way highway, and responsibility for business growth is both in the manufacturer and the distributor, both should try to encourage a healthy relationship for the success of their businesses and obtain maximum profits.
What should both be done?
The manufacturer or retailer:
– Be part of an active participation.
Distributors are always inclined to better services where these two things obtain, timely payments and good communication. As a manufacturer, try and understand the procedures and policies of its distributors and suggest if you feel that some modification is needed somewhere. If necessary, extend more time so that your distributors pay you, and also have easy-to-go-running policies.
– Always support
Promote your dealers with table shows and excellent offers. Share your technology and personal approaches when visiting them more frequently, extending them all the support they need to flourish. After all, in your success, you will find your success.
– Understand that it is a two-way road.
A relationship can flourish when both sides make efforts. You can expect from your distributor a more focused approach with the predicted inventory according to trends and demands and have enough stock of products to meet the demands of the market. But, remember that in return, the distributor also waits a lot in exchange, as a timely notification of any price increase, out of stock or discontinued products, and more.
The distributor:
– Communicate openly
Better communication is the key to a better relationship. Communicate with our retailer or manufacturer in a way where both can work together and solve all challenges and problems.
– Know your seller better.
Know all your seller well. They are those who can make their manage distributors successful, obtaining more sales and, therefore, more profits.
– Wherever and whenever necessary, ask for help.
Whatever you need for your business, ask your manufacturer. Remember that you are a business partner, and more resources you built along with your manufacturer, the better it will be for all of you.
