How can dealers improve their core competitiveness?

How can dealers improve their core competitiveness?

There are many dealers who have been wandering in rivers and lakes for more than ten years; A small shop with three or five people 10 square meter has been maintained, and its operation is bleak; Looking back, many up-and-coming stars have come to the legendary swordsman. Talented people come out of the country. "Modern society is always full of opportunities, arachis duranensis; The key depends on whether you have the vision, courage and fortune to grasp. The following is my knowledge about how dealers can improve their core competitiveness. Welcome to reading.

First, the foothold of dealers: distribution network

The positioning in the dealer market is channel transit. The main purpose of the factory to set up distributors in various places is to cover its products to retail terminals in various markets through distributors. The distribution network controlled by distributors is the first condition for enterprises to choose distributors. Dealers are the link between factories and retail terminals. It is through the circulation of goods to earn profits from the decomposition of manufacturers. Therefore, the more complete and systematic the distribution network of dealers in their own business fields, the higher their position in the minds of manufacturers and the greater their sales opportunities. Dealers should avoid the following four misunderstandings when establishing their own distribution network:

The wider the distribution coverage of 1, the better. Some dealers have just started, eager to position themselves at the prefecture level or even at the provincial level; Let's not talk about our economic strength and operational ability. I think the distribution area has expanded and the sales probability has increased. If you plant widely and reap less, you will gain something. In fact, the actual effect is not the case. If the distribution area is beyond its control, firstly, it will easily lead to the waste of limited resources and low efficiency. Second, it is difficult to achieve the goals set by manufacturers, and it is difficult to get strong support from manufacturers. With the promotion of factory market operation, the half-baked market you run will be divided, resulting in the result of making wedding clothes for others.

The wider the distribution system, the better. Generally speaking, the distribution system of dealers can be divided into four types: modern channels (supermarket system), traditional channels (circulation system), catering channels and special channels. Some dealers are used to multi-faceted flowering, and all systems do it. But the effect is counterproductive. There are three main reasons: first, the shortage of liquidity caused by insufficient capital reserves. Second, the characteristics of product structure determine that the operating cost of some channels is too high, which is not worth the loss. Third, dealers have different social public relations capabilities, and some channels and social resources are not operating adequately.

The more dealers, the better. Some dealers think that the more dealers, the higher the market coverage. Through the operation of dealers, we can not only speed up the capital turnover, but also reduce the tedious work pressure of paving the market. So many dealers are happy to develop dealers on a large scale. But don't forget, more dealers will bury mines for themselves. First, I will be happy to get the goods from you when discussing the delivery time; Once a product grows in size, it will be an independent entrance. Let you lose the sales area for no reason. Second, dealers are often the chief culprit in grabbing goods. "The factory can't punish the dealers, and this knife often falls on your head.

The thinner the distribution profit, the better. In order to win over dealers, many dealers keep their profits lower and lower, or even go in and out flat, earning some manufacturers rebates. It has two purposes: small profits but quick turnover, thin profits, but still make a lot of money. Second, this product does not make money, but the dealer helps to sell other profitable products. But in practice, this mode of operation still has many disadvantages: a banker should seize the opportunity and earn the money he should earn. For some emerging products, how low the distribution profit is, you will miss the opportunity to make money. Second, letting dealers get into the habit of bargaining will threaten the price. Third, it will cause manufacturers to move slowly. Disturbing product prices is easy to be punished by manufacturers.

Second, the survival of dealers: smooth cash flow

To do business, dealers must have two conditions: one is network, and the other is capital. Dealers are in the middle between factories and retail terminals. At present, the general factory requirements are cash on hand, as long as there is a credit line. Most retail terminals have accounts receivable. The financial strength of dealers often determines their development scale. Only by maintaining the smooth flow of funds in the operation can we maintain the normal operation of business activities. Dealers should pay attention to the following points when maintaining smooth cash flow:

1 Control the quantity of products. Many dealers have the problem of greed; The more products you handle, the better. Dealer thinks: 1. With more products, customers' resources can be fully utilized. Second, the distribution cost will be reduced. Third, it will increase new sales opportunities. But there are too many varieties, which will distract your working capital and attention when the advantages of your core products are weakened. Dealers should try their best to deal with all kinds of products. Sometimes 1+ 1 is not necessarily greater than 2.

2. Selective access to the supermarket system. From the factory's point of view, I hope my products will enter all supermarkets in the dealer's business area. However, the dealer must check the supermarket system. Investigate its credit status, accounting period and operating conditions. Conduct an effective evaluation. Short reconciliation cycle and good business are preferred. How many companies to enter must be decided according to your own financial situation and risk coefficient. Leave room for yourself. When you have the problem of money, manufacturers don't think about how many items you have overburdened in business, which makes you owe money.

3. Run more retail stores with cash in hand. Some small and medium-sized retail stores in various regions are operated in cash. Running more of these stores may increase transportation costs, but the capital turnover is fast. As long as the dealers do a good job in service, the monthly sales volume is also very considerable.

4. Establish an effective account receivable management mechanism, establish a customer credit system, and reduce business risks. (The specific content is discussed in the next chapter)

Third, the value of dealers: connecting the preceding with the following.

There are three key points in the whole sales environment. The first is the contact point between manufacturers and distributors. The second is the contact point between dealers and retailers. The third is the interface between retailers and consumers. Among these three contacts, dealers occupy the second place. Therefore, the value of dealers is the link between manufacturers and retailers. How to connect manufacturers and retailers well and reflect their own value? Dealers should do the following:

1 Maintenance of the terminal. Many dealers believe that the maintenance of the terminal lies with the manufacturer. There are indeed many manufacturers doing this work. But it is not enough to rely solely on manufacturers. Please pay attention to the dealer: the more specific the manufacturer's work, the less important the dealer is. Therefore, dealers should dare to assume this responsibility in exchange for greater support from manufacturers.

2. Do a good job in inventory management. Ensure that your own inventory and retail terminal inventory are kept within a reasonable line, and ensure uninterrupted goods.

3 feedback of information. Dealers feed back market information to the factory in time. Dealers are at the forefront of the market, and they always know the first time if there is any trouble in the market. Timely feedback the action and market situation of competing products to the factory so that the factory can reflect it as soon as possible. Maintain the competitiveness of products, but also effectively maintain close cooperation with manufacturers.

4. Implement the promotion policy of the factory. Dealers are often the ultimate executors of factory promotion policies. Strictly implement the company's promotion policy, do not deduct the promotion expenses, and ensure that the promotion activities are not out of shape; This is all part of the dealer's obligation. A farsighted dealer is a firm executor of the factory sales policy.

Fourth, the status of dealers: from lovers to wives.

The relationship between dealers and factories is always delicate. Cooperation agreements between manufacturers and distributors are often signed once a year; Manufacturers often change dealers; And dealers often eliminate unsalable products. Therefore, the relationship between manufacturers is at best a lover relationship. The reason why it is classified as a lover relationship is as follows: First, the loyalty of manufacturers is low and they lack planning for the future. Second, the mutual foundation is relatively weak, and some details may be mishandled, which will cause each other to break up. Third, the established cooperative relationship is often more emotional and less rational. Lack of the same market operation concept and cultural identity. Because of this lover relationship, dealers live in fear almost every day. The change of sales staff, the introduction of new products and the adjustment of sales strategy will directly affect the status of dealers. How can a dealer successfully change from a lover to a wife should do the following:

1. Establish an interdependent relationship with the factory. Lovers have no tomorrow, and wives have to spend the rest of their lives. The key to the relationship between manufacturers who want to be husband and wife is to find the similarities of their values. Some dealers think that a good relationship with manufacturers is to accompany them to eat, drink and have fun. "That's misleading. Wine table culture is absolutely unreliable. Manufacturers have the same goal, mutual trust, mutual support and mutual tolerance; In order to cooperate forever.

2. Shape yourself into an irreplaceable object. When a man looks for a wife, he always chooses between the east and the west at first; When he finds that you are the most suitable, then he won't marry you. "First of all, the interests between manufacturers are the same, and both sides can give each other the greatest benefits. This kind of cooperation is irreplaceable. On that day, dealers will shape themselves into irreplaceable objects of the factory, and their cooperation will be strong.

Dealers should learn to focus on the distance and put their hands near. Don't haggle over trifles. Since we are husband and wife, we need to care too much about personal gains and losses. Failure is a kind of happiness. "Dealers sometimes need to be generous. Be tolerant of each other, think from each other's point of view, and be responsible for the object. Really become a family.

5. The role of the dealer: a web weaving expert.

The process of dealers is also the process of building a network system. Dealers should become experts in web weaving. This network should be centered on the dealers themselves and radiate to every corner. Sales network is often the biggest resource for dealers. To become a master of web weaving, dealers need to have the following operational capabilities.

1, distribution capacity. In the initial stage of network construction, the distributor's primary job is the distribution point. It is very important that each point falls there separately. This requires dealers to have a big picture. The interval between points is appropriate, and points are connected by lines. This is the sales network.

2. The control power of the network. The dealer's net has been spread out and must be collected. This requires establishing a solid cooperative relationship with each point of sale. And control the supply system of the sales outlets. The control power of the network is often impacted by other regions. On the one hand, we should cooperate with manufacturers to control the occurrence of goods grabbing, on the other hand, dealers should have restrictions on retail outlets. Appropriate rebate of total sales at the end of the year is also an effective means.

3. The network repair ability. After the sales network is built, it is always in dynamic change. If a sales point is broken, it will lead to a hole in the Internet. If it is not repaired in time, the hole will get bigger and bigger. This requires dealers to fix this breakpoint in time. If a dealer is replaced by other competing products, find a new dealer in time.

Sixth, the development skills of dealers: change according to needs.

The consumption trend of the market is constantly changing every year, and dealers should keep up with the trend and time. The development of all walks of life is a wave-breaking change. When a certain kind of product enters the recession period, there must be a kind of product that stands out. The key is whether the dealers can observe the changes in consumer demand in Ming Rui. Seize business opportunities. To this end, dealers need to do the following homework:

1, the insight of market Ming Rui. Be good at thinking and summarizing some regular things. Changes in the industry generally follow the principle of three years and one week. When a product enters a recession, new categories will inevitably rise. The most profitable thing for dealers is that a new product rises from peak to peak. In the real downturn, although this kind of products still have basic sales volume, the profit is already very thin and it has become a chicken rib product. Therefore, it is very important for dealers to grasp the market situation and situation.

2. Be good at promoting new products. Many dealers think that the marketing of products is the business of manufacturers, and we just need to cooperate well. This concept is one-sided. The successful promotion of a new product is the result of mutual cooperation and joint efforts among manufacturers. From the manufacturer's point of view, the distributor has strong marketing ability, and the manufacturer will set the area under its jurisdiction as a key promotion area, and the cost investment will be tilted. The promotion success coefficient of new products will be high. The result is mutual benefit.

3. Be good at discovering new sales opportunities. With the intensification of market competition, the structure of sales channels is constantly changing. Looking for new market opportunities, especially in some special closed channels, it is easy to get higher returns. For example, a dealer in a coastal city noticed the business opportunities for local fishermen to regularly replenish food, drinks and daily necessities, and set up a special department to specialize in fishermen's daily supplements. Because the products supplied by dealers are complete in categories and reasonable in price, they send the goods directly to fishing boats. Very popular with fishermen. Every year, this kind of rapid sales amount to tens of millions of yuan.

Dealers pay close attention to changes in consumer demand, and market demand means business opportunities; Means wealth.

As the saying goes, business is done by people. "Businessmen have different personalities, knowledge, sensitivity, courage, vision and goals, and the final result is also very different. A successful dealer must have his success.

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