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3 Cards in this Set
- Front
- Back
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Distributors/wholesalers |
•we will consider distributors and wholesalersto bethe samedistributor as an intermediary that services otherintermediaries •for example•the cashand carry serving small independent retailers•the builders’merchant servingpeople injobbing tradessuch as plumbers,builders, etc•the broadlinedistributors found serving thousands of computeror electronic dealers. |
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Customerrole – core functions |
•For their customers, distributors fullanumber of core roles, all of which are aspects ofbeingaone-stop shop.•their customers aresmaller,independent traders, dealers, retailers and so on.•cannot afford the complexity andcost of sourcing their stocks and supplies fromthe hundreds of suppliers whose products are integral to their own offer toend-customers.•It is more efcientforthese nal-tierplayerstobe ableto go to a limited number of distributors •one-stopshop does not necessarily mean that the customer is buyinghundredsofdifferent items at the same time.•the customer expects to beable togo to the distributor for anything and buy it without needing towait orto place it on back order. |
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Supplierrole |
•depending on the maturity of theproduct category, product lifecycle stage,marketshare ofthe supplier and density of the nal tier inthedistribution system.•This range of distributor types canbe characterized in terms of their business model(Figure 3.2):•Valueadded distributors •these distributorsare focused on products where thereis limited distribution, ie very few or only one distributoroperatesin the market. •This couldbe for reasons of a small market size, or thatthe suppliers are new into the market or the technology of theproducts isat an early stage of the adoption life cycle.•supplier is looking to thedistributor to be highly proactive in recruiting and developingthe often specialist nal-tier players |
