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10 ways distributors can add value to your business

April 26, 2009 by Tielman Nieuwoudt  
Filed under Checklists, Distributors

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  1. Knowledge- they know their customers and distribution area very well and can provide you with valuable customer insights.
  2. Provide credit- many distributors provide credit to smaller outlets and they have the ability to collect regular payments.
  3. Stockholding- they provide warehouse space and it reduces your personal warehousing space requirements.
  4. Delivery- delivering bulk to your distributors will reduce transport cost as distributors will deliver smaller quantities to their outlet base.
  5. Frequency- distributors provide regular delivery services and in some cases can provide daily delivery upon request.
  6. Trading hours- distributors can provide delivery services after hours and over weekends.
  7. Complementary products and services- in some cases distributors provide complementary products and value added services.
  8. Promotions- dealer initiated promotions can further increase your sales.
  9. Competitor activities- having established a good relationship with your distributor they can also provide you with information about competitor activities.
  10. Feedback- distributor sales team can discuss new ideas and product offerings with their customer base and provide you with valuable feedback.

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