It is a well-known fact that distributor is very crucial part of the distribution channel; as a result, one has to be over careful when appointing distributors in India. The apt selection of distributor is very important to achieve the market leadership in the targeted location. The distributor appointment process should be very careful and detailed. The distributor is appointed for long term, in a particular segment for a range of products.
The distributor selection process:
It requires a knowledgeable person to evaluate available options which are judged on the basis of the following criteria.
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Attitude
Positive attitude is must in distributors. He should have basic managerial skills. He should be ready to experiment with new techniques and products and take calculated risks.
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Latest technology
Distributor should be aware of new technologies like computing, internet, social media. It can assist in various aspects of the distribution process and in getting better efficiency in communication and simplify business operations.
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Market knowledge
Distributor’s knowledge of the dominant market conditions, retailers’ attitudes, competitors’ products etc. will assist distributor in getting good hold on market. He must also have interest in knowing daily updates of the market.
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Good contacts and market reputation
If the distributor has good reputation in the market and share nice relation with retailers, it will assist in efficiency of his work.
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Infrastructure
Infrastructure required like warehouse, vehicle, manpower must be available of required quality and quantity.
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Prior experience
Prior experience in distributorship will assist the distributor in below mentioned ways:
An experience distributor understands the process more quickly and easily.
He can easily build good relations with institutions/retailers.
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Financially stable
A potential distributor should be financially strong depending on the market trend as well as your product range. Finance is the most important criteria because:
Distributors have to stock the required products in bulk from the manufacturer which needs huge amount.
Distributor will be required to provide credit to the retailer and institutions.
Distributors have to invest in the products, infrastructure and more.
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Future plans
As distributor is appointed for a long time, it is essential to know his future plans about his distribution business.
Also, when everything is simplified in today’s generation, it gets easier to find distributors in India online over traditional methods. We at Businesssaathi help companies choosing the prospective distributors and make them aware of the Franchises Available in India. If you are looking for help, feel free to contact us.