Selling Manufactured Products Print

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Finding buyers.

WHAT CHANNELS EXIST

Direct to retailers Through distributors To other manufacturers, as components Institutional and contract supply Direct to consumers Export

WHAT DISTRIBUTORS PROVIDE

Reach without your own coverage.

WHAT THEY COST

Margin, and distance from the end customer.

WHAT SELLING DIRECT PROVIDES

Margin and market knowledge.

WHAT IT REQUIRES

Sales and delivery capability.

WHAT INSTITUTIONAL SUPPLY PROVIDES

Volume and predictability.

WHAT IT REQUIRES

Registration, documentation, consistent quality and credit terms.

WHAT CONTRACT MANUFACTURING PROVIDES

Volume without building a brand.

WHAT IT REQUIRES

Meeting someone else's specification exactly.

WHAT IT RISKS

Dependence on one customer.

WHAT TO ESTABLISH BEFORE COMMITTING CAPACITY

What proportion of output one customer represents.

WHY

Losing a customer taking most of your output is catastrophic.

WHAT BUYERS ASSESS

Consistent quality Reliable supply Registration and compliance Price Packaging and presentation

WHY CONSISTENCY DOMINATES

Buyers fear supply and quality failure more than price.

WHAT TO ESTABLISH

That you can actually meet the volumes offered.

WHY

Failing to supply ends the relationship permanently.

WHAT TO BUILD

A small number of reliable channels before adding more.

WHAT TO MEASURE

Sales by channel and their margin.


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