DISTRIBUTION STRATEGY AND CHANNEL CONFLICTS

Distribution strategy and channel conflicts

Distribution Strategy and Channel Conflict are topics that many companies need to address. Consumer behavior has changed significantly in recent years. The customer is Omni-Channel start thinking and doing. Businesses that got into trouble often blamed the poor economic situation and low consumer confidence. This has certainly had to do with lower sales in their distribution channels, but consumers were still spending money but doing it in a different way or place. Take your chance of this problem!

A change in the distribution strategy is often the solution. But change also comes with resistance. Channel conflicts with your current customers are therefore lurking. Parties such as Amazon and Alibaba are getting bigger and your customers or resellers are increasingly demanding. How can you organize your distribution channels smarter and take advantage of these problems? What do you need for that? Adjustments in your IT systems? Smart data analysts? A Marketing Automation solution? We help you with all these issues. Concrete, pragmatic and with many years of experience in Omni-Channel Distribution.

 

 

 

 

 

QUANTITY VS QUALITY?

Are there growth opportunities for my company within my industry?

Consumers have embraced the (price) transparency of the internet and have become more critical. This shows that average prices are falling in many branches. Prize fighters such as Primark, Action and Lidl will benefit. Consumers are more likely to go for bargains. You can see this in the supermarkets due to higher action pressure and a virtually permanent price war for the last percent of market share. For A-brand manufacturers, this not only means that they have to offer increasingly higher discounts to participate in the deep promotions. Many companies focus heavily on private label growth due to higher margins and customer loyalty. Are channels like Amazon and Alibaba interesting for your company? Need a change in your distribution strategy?


OFFSETS

Can my business benefit from shifts in the distribution column?

Now that almost everyone uses a smartphone, consumers are increasingly deciding how and when to buy. Because many traditional stores realize less turnover, wholesalers, brands and manufacturers are forced to adjust their distribution strategy. Wholesalers increasingly supply their B2B web shop to end consumers as well, which creates friction with the current resellers. Brands and manufacturers are seeing their market shares fall as more and more companies introduce their own brands. Here too we see forward but also backward integrations in the distribution column. Brands are increasingly opening their own web shops and brand stores in shopping centers. But how do you develop the right Distribution Strategy?

Growing without a solid Distribution Strategy?

It is difficult for retailers affiliated with a franchise organization to understand that the franchisor will deliver directly to consumers via their own webshop. The same applies of course to wholesalers who sell their own products not only to resellers, but also directly to end users. Many manufacturers, wholesalers and franchise organizations have started to communicate directly with end users. In many places, companies are struggling with channel conflicts. Ecommerce Result has already helped many companies to develop a future-proof Distribution Strategy in order to prevent Channel conflicts.

Solving channel conflicts

No franchise organization, wholesaler or manufacturer wants to argue with its customers, but it is certain that the distribution column will change. Ecommerce Result helps with a clear and thorough analysis of your situation. We review the threats and solutions and help you formulate a sound Distribution Strategy. Ecommerce Result has very experienced retail and distribution experts at your service.

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