A distributor for a business can be characterized by two factors – Firstly, unlike any agent who takes a commission, a distributor buys stocks from you for re-sale, and secondly, distributors are not always appointed by you or the manufacturer to cover a specific geographical area or region of the market.

A distributor can be characterized as a small company or a business that may be privately owned and managed by a sole proprietor, or an ex-salesman of your business who has opted for his own. The ideal environment for a distributor for any business is that market that has many small customers and where the sales levels are high.

Getting more customers might be difficult for a direct employee of a business or the sales team, who are best suited in dealing with a limited number of bigger customers or clients. For a distributor, he aims to win the business on sales and not on technical services. They believe in the stocking of products, which means instant delivery for their customers.  Distributors aren’t employees or customers — they’re more like your business partners.

Finding the right distributor management system is critical for any business as they can help in a big way in boosting the sales of the products of any business. Distributors are needed to get the products on the shelves of the retailers as well as opening new doors for business with valuable leads.

It is therefore very critical for you as a business that you prepare in such a way that your distributor is successful. If the products do not find the right distributors, then you are always at risk of not generating the sales that you need to succeed in your business.

Here’s how companies can get the most out of these crucial relationships.

Measuring and managing the supplier-distributor relationship can optimize distributors’ performance.

• Conveying brand promise and retaining talents

There is always a challenge that manufacturers face with distributors in selling their products and maintaining the integrity of the brand promise across multiple channels and relationships at the same time. Here the brand promise can get scattered and lost, about the multiple ties between the manufacturer, the distributor, and the final consumer.

It is why developing a partnership bond with the distributor is vital to keep the brand promise and achieve success. As a manufacturer cannot mandate their management policies, they must share best practices and resources as partners of a mutually beneficial relationship.

• Working on the partnership and making it work

It has been observed that manufacturers who create impact are the ones that are knowledgeable about their distributors and their business. Giving the distributor the value they demand can help[ the manufacturer achieve their targets and develop a powerful partnership alliance that will, in turn, improve performance. The idea is to work with an alliance to create a level of impact that might seem intrusive, but can help in achieving success. After all, being a business and helping other businesses succeed is always commendable. 

• Being a partner and not a vendor to your distributor

Always remember that for a manufacturer or a supplier, a distributor is the face of the business. They can either accentuate or cloud your business brand with your target customers. Building a partnership with the distributor keeps the brand promise intact and paves the road to the success of the business and the distributor in the market. A partnership can help both the business, improve sales and performance and make your brand a successful brand in the market.