Distribution trends have been leaning toward ‘experience’ for a few years now.
Couple customer expectations with labor shortages and you’ve got a recipe for a complete transformation on the horizon for 2020.
Direct to Consumer Trend
The D2C (Direct to Consumer) trend is influencing quite a few business decisions. eCommerce has lengthened companies’ arms and engagement with consumers.
In turn, consumers are going direct to companies and expecting instant gratification.
So how does that impact you strategies with these expectations?
Costly Decisions that Could Impact Your Brand
Most companies are trying to increase its distribution centers while reducing DC size. So instead of one big DC, you might see 10 in the same state to aid in getting product to consumers when they want it: which is NOW.
Great strategy, but before making that decision, you should know it can end up being more costly than just adding to your lease budget.
Cutting ties with distributors who already have these centers and have already prepared for the ON DEMAND consumer might end up costing you more than changing the terms of your current contracts to add more coverage and quicker deliveries.
Another hidden cost is the marketing and growth you might experience with a distributor.
If you choose the right one, you have instant networks: Just add water.
Or in this case, an agreement.
Keeping Your Distributor: Things to Consider
Good distributors will have networks and partnerships you can only acquire through time.
They may have offices, warehouses and partnerships all over the world. While doing it on your own may seem like it makes the most sense, you’ll need more than money to make it happen.
Cutting ties with distributors who are already prepared and able to register your products, launch your brands internationally and introduce your products into territories that took them years to achieve, may mean you now must pay the time toll, too. That could take years. Is that in your budget?
Sounds dramatic, but international barriers will never make international expansion easy.
But distributors can.
Instead of jumping the distribution ship only to find you weren’t prepared to swim on your own, consider vetting your current distributor/s.
Are they able to partner with you to meet the demands of the consumer?
Are they able and willing to change terms to expedite delivery and increase customer satisfaction?
Is your current agreement benefitting your international plans?
If not, look at others. There are plenty of distributors who have been following and forecasting trends.
Super Health Center Can Solve Your Business Problems Today
We have been waiting for your call.
Super Health Center has multiple distribution centers to meet consumer demands, we have nearly 20 years’ experience building partnerships, satellite offices, and networks across the world.
We can integrate with your software and your strategy so you can save money and meet customer expectations.
Reach out today and be prepared for tomorrow.