As you know, retailers are interested in providing a choice for the consumer and beautifully “pack” their outlets with a diverse assortment. So on the shelves there are new goods, new categories, and just the linear meters of the goods, taken for a very sweet offer from the distributor and the manufacturer. Unfortunately, many unpacked boxes still remain in the storehouses as a monument to the hopes of the retailer and a huge hole in the pocket in the form of “overstocks. What is the responsibility of the distributor and the manufacturer? The Hobby Lobby – Sell to Hobby Lobby options are there too.

More often: “These are your problems”. Sometimes: “It’s strange, but in other stores – it’s sold well. Let him stand still. ‚ÄúRarely: “Let’s make an action and sell off the excess goods at a discount.” Very rarely: “Okay, once a quarter, return all that we did not give back.” The latter understand that a product that does not sell and takes up space on the shelf blocks sales for both the retailer and the distributor. Survival in the market today requires both sides to search for more winning schemes for cooperation, and not just one-stop gaming.

  • The distributor in the modern perception of the retailer is such a logistics company that greatly simplifies the work, but still, to some extent, is a “freeloader” and an unnecessary layer between the network and the manufacturer. But the distributor performs a number of functions that networks are difficult to take over. It is the distributor who builds high-tech warehouses and develops intelligent logistics. It is the “good distributor” that gives many brands and different categories, as well as smaller parties, and small packaging, if necessary, and most importantly, their money to finance the necessary network of free deferral of payment.
  • This hurts the business of distribution companies. In many European countries, for example, the process of transforming distributors is in full swing: either the distributor creates its own retail and thus competes with its recent customers, or goes into a deep logistics operator, or goes into the 3PL operator format, offering maximum value to its customers. And retail at the same time creates its own RC. You can count on the Convenience store distributor

Transformation of the distributor into a retailer and vice versa requires significant financial and time-consuming efforts. This is a matter of strategy, working out a completely new competence (if you want, pumping a previously absent muscle) and several years of hard work.

Let’s look at how, without complex transformations, to improve the efficiency of the existing distribution chain of the manufacturer-distributor-retailer with the benefit for all participants in the process. These tips are relevant for any retailers, from grocery stores to stores at gas stations.

Comments are closed.

  • Partner links