Steps to Choosing the Right Distribution Methods
As we covered in our “How to Choose the Right Distribution Channels” post, a lot of ‘self-reflection’ goes into making decisions. But aside from looking inside your company, you must also look outside the company-at your competitors.
Many companies such as pharmaceutical companies need to ensure the safe but quick transport of products and therefore hire in pharmaceutical distribution experts to help them do this. However if you are on your own, evaluating your competition will help you craft several strategies, your competitive advantage and ultimately the vehicles to sell your product.
To start, create an outline:
- Internal and External Threats-this step should be done via your internal reflections and should include a SWOT (strengths, weaknesses, opportunities and threats).
- Competitor profile:
- Marketing strategies
- Distribution channels
- USP (Unique Selling Position)
- Brand voice and presence
- E-commerce deep dive
- Identify costs of each potential channel selection
This outline will help you create a strategy with ranked channels to guide your final prioritized selection.
As you go through your outline, learning more about your own company and your competitors is key. The more you know about both will help you make the most effective decisions.
In addition to evaluating your competitor’s profile, evaluating your top competitors’ distribution methods will also help you make the most cost-effective and successful decision on your selected channels and methods.
After all, if they’re competing with you, chances are, they’ve been through this and can give you a good birds-eye view of what will and won’t work for your company.
Choose Distribution Methods that Align with Your Resources and Objectives
Once you narrow down your options, utilize your budgets and financials to determine what methods you can afford. Choosing a distributor that provides comprehensive solutions is a great option to reduce expenses associated with limited distribution companies or ala carte solutions offered by several different distributors.
Evaluate the costs associated with each method that makes sense for your business.
Methods include:
- Wholesaler/Distributor
- Media Sales
- E-commerce
- Brick & Mortar
- Direct Sales
- Direct Mailers
Once you analyze the methods that match your budgets, then prioritize your options. Which method will provide the most benefits for your investments? Start there.
Need help? We’ve all been there. We are a single source of all your solution needs. Reach out and let us guide you through the process today so you can start competing tomorrow.