Hardware tools distributors will borrow channels for mutual benefit

In recent years, the hardware industry and consumer goods have undergone major changes in the form of marketing. Generally speaking, hardware industry marketing is a typical bulk trade, and its sales characteristics and channel structure are different from ordinary consumer goods. Distribution channels tend to be flattened and some new hardware malls and large markets have emerged. Some operators and large distributors have also established their own brands, conflicting with their retail strategies, and the traditional channels of the industry are showing scale and diversification. , modernization, centralization, internationalization, and mainstream development trends. Net hardware industry buyers word of mouth list The project team learned that in the e-commerce channel emerging environment, some traditional channel dealers began to consider the channel of mutual lending, and achieve win-win with more counterparts.

Four points of the borrowing channel 1. Integrity as the cornerstone of cooperation Nowadays, dealers have different resource advantages, and mutual-availability channels can achieve a win-win situation. But in modern business, the first prerequisite for a win-win situation is integrity.

If dealers are very concerned about what I can get through the channel of mutual lending, and not what we can get together after sharing the channels, it will lay a hidden danger for future cooperation. The borrowing channel is not to hand over all of its existing customers to the other party, but to classify the products it manages by channels, and then to exchange the products that are suitable for each other's channels with the products that the other party uses to suit their channels. This requires both parties to say good faith. Without integrity, there is no basis for cooperation.

2. Since the products of different choices are mutual borrowing channels, dealers should try to find products with different characteristics to carry out channel mutual lending. Why choose a different product? The reason is that although the sales channels are different, if the product positioning is similar, the borrowing channels will affect the original product sales. Therefore, distributors of mutual-borrowing channels must allocate product varieties so that there will be differences in the variety, which will benefit both parties' channel sales, and thus increase the sales volume. Because more varieties can give distributors more choices to purchase goods, it is helpful for the original product sales.

3, control their own channels in the process of mutual borrowing channels, the best dealers do not have the cash settlement method, but the two sides will be the equivalent of the products exchanged. For example, the distributors of large distribution companies make profits by taking the quantity they have taken. If they use the terminal's network, the profits of the products must increase compared to the original; and the dealers who make the terminal borrow the network resources of the distribution channels. Can increase product sales.

Although the channels are mutually borrowed, the power and operation of the control channels still belong to their respective distributors. This dealer must be very clear, do not occupy other people’s “sites” by mutual loans, because no one will use mutual loans. Give up your control of the channel!

4. Profit Distribution Achieving a consensus on sales of products will generate profits, but the distributors who make large distributions and the distributors who make terminals will have different profit recognition. Because dealers who are habitually circulated, they are pursuing puerile, rapid circulation, allowing the capital to roll quickly, pursuing the maximization of sales; while the dealers who make terminals emphasize the maximization of product profits, so at this point, mutual The distributors of the channel can reach a consensus on the distribution of profits before they can cooperate with one another in a friendly manner.

The matters that should be paid attention to by the borrowing channel 1. Is the product positioning consistent? Because it is a mutual borrowing channel, then it is necessary to understand whether the product that the other party distributes is high-grade products, mid-range products, or low-grade products. Although the two dealers are united with each other, they seem to be stronger than before. However, if there are differences in the positioning of products distributed by the two dealers, the significance of borrowing channels from each other is not significant.

For example, you are the distributor of low-end liquor distribution, he is a distributor of high-end beer, then the borrowing channels between you can not reflect the advantages of the joint. Because your subordinate sales network is based on the county's and town's wholesale customers in your city, and the sub-level distribution of high-end beer reaches up to the county level. Therefore, the channels needed for low-grade products are vertical channels, while the distribution channels for high-grade products are horizontal channels. Imagine that someone in a star hotel will drink 10 yuan a bottle of liquor? Or do people in townships often drink tens of dollars a bottle of beer? It can thus be seen that the borrowing of channels must pay attention to whether the joint product target markets of the two sides are the same.

2. Learning Management Experiences of Different Channels As a distributor with different channel resources, the use of channel mutual lending can increase the profit of products or increase the sales of products. This is a phased cooperation.

As a distributor of large circulation, through cooperation with terminal distributors, we try to understand the specific operating procedures of the terminal channel, are familiar with the hotel’s management personnel, and are familiar with the process management, payment instruments, analysis of payment methods, risk prevention, and credit before and after shipment. Key indicators such as quotas, control of dead accounts, and reasonable risk control. As a terminal distributor, it is necessary to take advantage of the opportunity of mutual-availability channels to go out and learn about downstream channels and downstream terminals.

From this, it can be seen that extending one's business's tentacles is not just selling goods. Dealers and friends should also pay attention to the opportunity to seize cooperation, learn more about different channels of management, and become a knowledge-based distributor.