Channel member selection (SelectionofChannelMembers),
What is the channel members the choice to to select
channel members, elected from the members of many of the same type of distribution for the company's channel structure can effectively help to complete the company distribution goals distribution partners in the process.
Marketing channels designed The final step is the process of selecting members of the marketing channels. If the channel design is a direct marketing does not exist on the distribution of the members of demand, it does not matter on the distribution of members of the selection. If the enterprise of the conditions
of
select channel members determine their product marketing strategies, indirect channels into the market - step should be made to select the brokers of the decision-making, including the wholesale brokers and retail brokers. Brokers are chosen properly, directly related to the production and marketing effect. Select brokers must first extensive collection of relevant business brokers, credit, market scope, service. Level information to determine the standard of review and comparison. Selected brokers also work hard to convince the other party to accept your product, because not all the middlemen for your goods are interested. Large-scale investment, and brand-name manufacturers to complete the decision-making and put into practice is not very difficult, not just Industrial SMEs - an easy thing. Under normal circumstances, to select the specific brokers must consider the following conditions.
1 the middlemen market range
of the market is to select the brokers the most important reason. First to consider the business scope of the pre-set by middlemen, including areas with expected sales region, for example, the products in the Northeast region, the scope of business of the brokers must include this region. Secondly, middlemen sold the manufacturers hope that the potential customer, this is the most fundamental conditions. Because the producers want to middlemen to get into the identified target market, and ultimately persuade consumers to buy their own products.
2, the middlemen Product Policy
of intermediaries underwriting of product categories, and combinations thereof, is a concrete manifestation of the policy of the middlemen products. The choice depends on middlemen how much "product line" (ie, the source of supply), the combination of relations of the two depends on a variety of products, competitive products or promotional products. Generally think we should avoid the choice of distribution of competing products brokers, middlemen distribution of products and the company's products, similar products, such as 21 inch color television. If the product's competitive advantage obviously can choose to middlemen to sell competitor products. Because the customer to make an objective comparison of the products of different manufacturers, decided to buy a competitive product. 3, the middlemen geographic location advantages
location advantages, namely the location advantage. Select the ideal location of retail intermediaries should be larger the location of the customer flow. The choice of wholesale brokers will have to consider its location in favor of the product bulk storage and transportation. Usually appropriate to the transport hub.
4, the product knowledge of intermediaries
many brokers are huge, and brand-name manufacturers selected, often because they have specialized experience in the sales of a product. Choose specialized experience in product sales brokers will soon open the market. Therefore, manufacturers should be based on the characteristics of the product experienced brokers.
Is expected to
brokers and manufacturers in the level of cooperation in teamwork will be actively marketing the company's products, benefits for both parties. Some brokers hope that production companies are also involved in the promotion, expansion of market demand, and believe that this will be higher profits. Manufacturers should be based on product sales need to identify specific ways of cooperation with the middlemen, and then select the best cooperation middlemen.
6, the financial position of middlemen and management level
brokers the timely settlement payment in advance including, if necessary, depending on the financial size. Across the enterprise sales management specification, efficient, and the relationship between the success or failure of the brokers marketing, and these are solidarity with the development of productive enterprises, therefore, these two conditions must also be considered.
7 the Promotions policies and
, of the middlemen the manner in which to sell goods and selections of promotional tools, the ability to directly affect sales. Some products are more appropriate advertising and promotion, and some products suitable for marketing through the sales staff. Some products need storage, and some should be rapid transit. To take into account the middlemen willing to accept certain promotional costs, and there is no necessary material, technical infrastructure and the corresponding personnel. Select brokers before its best to complete a sales marketing policy and technical reality to the extent possible a comprehensive evaluation.
8. The middlemen comprehensive service capacity
the many modern business operation and service projects, select brokers depend on its service capabilities, some products require brokers to provide customers with after-sales service, and some sales to provide technical guidance or financial assistance (such as on credit or installments), some products require specialized transport storage devices World pipe network reported that the world's steel pipe network to provide the world's steel pipe network editor . Appropriate intermediaries can provide comprehensive services and services should be consistent with the service requirements needed by the enterprise product sales.
Determine the number of channel members
the choice of the number of middlemen for the same channel level to expose the degree of enterprise product features and the pursuit of business products, the following strategies are available:
1, dense distribution
This is as far as possible to select multiple middlemen distribution, marketing channels widen as much as possible. Convenience goods in the consumer goods and industrial standard, general-purpose gadget use of this strategy to provide customers with the purchase of convenience.
2, the exclusive distributor
this means - regional only selected a broker or agent, the implementation of exclusive dealing. Choose the exclusive distributor of the other brokers the sale of the company's products in the same area is no longer authorized; selected brokers competing products is no longer operating. Is the exclusive distributor of the most extreme form, is the narrowest distribution channels, special products for consumer products, in particular, a number of brand-name products World Pipe network informed, as well as the need to provide special services products. The exclusive distributor of manufacturing enterprises to improve the control of sales channels, to stimulate the middlemen to the enterprise service. But this approach is risky enterprises, brokers choose properly, you may lose market share in this region.
3, selective distribution
between the intensive distribution and exclusive distribution of two forms, that is conditional choice of several middlemen operating between. Its marketing channels than exclusive distribution width narrower distribution than intensive enterprise more common use - strategies. It applies to all kinds of goods, especially the purchase of consumer goods products, special products, standard products and raw materials in industrial use of this strategy. Compared with intensive distribution strategy, selective distribution strategy allows manufacturers to selected brokers, the use of efficient intermediaries to reduce the cost of sales. In addition, this strategy also allows enterprises to enhance the control over marketing channels.
Select channel members
1. Sales assessment method
sales analysis of customer traffic and sales distributors through site visits and to analyze its recent sales levels and trends on this basis, the distributors distribution capabilities (in particular, may reach the sales level) to estimate and evaluate, and then select the best candidate ".
2. The weighted scoring method
score is intended to select as a partner for each middlemen engaged in commodity distribution capacity and condition scoring. According to different factors and the distribution of an important degree of variation in channel function, respectively, given the - given the right number, and then calculate the total score of each brokers to choose from higher scores.
3. Cost of sales assessment method
the middleman distribution of goods has a cost, including market development costs, none other promotional costs, loss of benefits due to delayed payment for goods, negotiation and monitoring of compliance costs. These charges constitute the sales fees or distribution costs, reducing net income for the manufacturers. Companies can improve the efficiency of the channel by controlling the circulation costs, thus increasing net income. Therefore, the cost of sales is expected to be seen as select an indicator of the middlemen. The commonly used method of three kinds:
(1) the total cost of sales comparison method. Co-operative attitude of the "dealer" in the analysis, marketing strategy, market reputation, customer traffic, sales records on the basis of estimates of each "candidate" as a member of the distribution channels, cost of sales in the process of implementation of the distribution function. Then, select the lowest cost brokers.
(2) The unit cost of goods sold of Comparative Law. When the cost of sales, more sales, lower the cost of sales per unit of goods, the higher the efficiency of channel members. Therefore, in evaluating the pros and cons of distributors, sales and cost of sales to two factors need to be linked to a comprehensive evaluation. Is the ratio of the expected total cost of sales of the distributors, the distributors to achieve product sales (or sales), cost of sales of the units (unit sales) of goods for comparison, elected by the ratio of the lowest as a distributor channel members.
(3) cost-efficiency analysis. This is the ratio of sales and sales costs as a basis for evaluation, to select the best distributors. Unlike the former, this method uses the ratio is a distributor to achieve sales results (sales, or sales), total cost of sales divided by the distributors, called the cost-effectiveness:
cost efficiency = The distributor's total sales (total sales) / total cost of sales
the distributors can be seen that cost efficiency is the reciprocal of the unit cost of sales of goods. Of course, the amount of - the - and comprehensive analysis. This requires the use of breakeven analysis theory and graph.