Description
Direct selling is the marketing and selling of products directly to consumers away from a fixed retail location. Peddling is the oldest form of direct selling.
Since you won't be paying for the above items, distributor relationships are much more Direct or Distributor
When expanding to a new market, is it better to establish a direct sales Using a distributor has some downsides as well, but they can be minimized by building a good team, or use a distributor?
within reach of a small business trying to enter a new market.
relationship with a distributor. - Not your own people If you're looking You to expand won't be your ablesales to directly to newmanage markets, every then step there's of the oneprocess. big question While you it may mustmake ask: do you I build a direct sales nervous presence to loseor some use a control distributor? over the Each sales method process, hasyou its benefits can manage and drawbacks, the risk by building but a transparent with your distributor with constant and feedback we're going to make a strong relationship case to use one method over the other in almostupdates every instance. from both ends. What's the difference between directto sales and distributors? - Distributor has many products represent A direct sales presence You may means not be that theyour distributor's company top establishes, priority at manages, any givenand time, pays and a you sales want team toof be one sure or more people your in the target market. product is not getting shuffled to the back of the line. Once again, a wellestablished relationship with constant contact will ensure that your product is getting An outside agent the isattention any entity it that deserves. will sell your product in exchange for a service fee. One example is a sales sells your product in exchange for a percent of the sale. A distributor is similar to a - rep, Not who a "turn key" solution rep, except theyYou would buy product from your company and sell it directly to the end customer. can't just give the distributor your products and expect success. You'll have to manage the relationship. This takes time, but it's still less costly than trying to install a Is Direct Sales direct Better? sales team from scratch. For most businesses expanding into new markets, especially international markets, hiring a distributor isIado better decision—at least until there is enough return from the market to justify So what do next? building a direct sales presence. If you aren't convinced that a distributor would be better for your organization than establishing a direct sales team, seek help from a consultant who has experience establishing a presence in new Sure, there is one major advantage to having a direct sales presence—control. Control over the day markets. A consultant can use his or her experience to analyze your opportunity and recommend theto day activities your sales personnel is appealing to most business owners. But this control comes at a best course ofof action. heavy price. To start, you'll need to spend the time to hire someone in that market, then train them, then equip with sales material and management, if not office space and equipment. These costs Before youthem choose a distributor, you need to know …. are prohibitive for most small businesses looking to expand internationally. Choosing the wrong distributor will set you up for failure. The wrong distributor simply won't generate sales, and you'll have wasted at least a year finding and setting up an unprofitable And there are even more costs that we haven't mentioned yet. Each market has it's own unique laws, relationship. cultures and customs that are essential to master if your company wants to establish a successful sales presence. isthings a classic example of marketplace with unique legal structures business There are Japan certain to look for in aa distributor, and they are different for everyand market. The best customs that, if not followed, guarantee failure of anyin sales efforts.relationships, It's hard to pin down exact thing to do is to find a professional, one the with experience distributor and hirean that monetary value to this learning, butand askidentify yourselfthe this: Can you afford to establish, manage, and pay a professional to help you search for right distributor. sales force in a foreign country for at least a year while they learn the ropes and generate no revenue? VSG Consultants can help. We will work with you to understand your product offering, identify What about a Distributor? Is a Distributor newyour markets? whether a distributor is the best option for youbetter based for on how business sells today, and develop a Distributors are a cost effective means to enter amarket. new marketplace successfully. Here are just a few of plan to replicate that process in an international Once we've got a process in mind, we'll begin theidentify reasons: to the best distributors for your company and work hand in hand with you to select the best one.- No Overhead Unlike running your own sales team, a distributor will take care of the hiring, managing, and optimization of setup its channel. You're just their while After that, VSGpayment, can continue by helping you the processes andborrowing management ofdistribution, the distributor relationship. Orthey we can handle simply the maintenance. manage the whole relationship for you, while you reap the benefits of a well- selected Established and managed Channel distributor with Local inKnowledge a booming marketplace. A good distributor will already know all the laws and customs of the market you're To learn more about entering. howYou VSG don't Consultants need to reinvent can helpthe you wheel—you with distributors, can use head someone over to who already has valuable local knowledge. - Understand Pricing and Purchasing Power of Market Along with knowledge of the laws and customs comes knowledge about the most successful ways to price and market your product locally. - Cost Effective
doc_502703208.rtf
Direct selling is the marketing and selling of products directly to consumers away from a fixed retail location. Peddling is the oldest form of direct selling.
Since you won't be paying for the above items, distributor relationships are much more Direct or Distributor
When expanding to a new market, is it better to establish a direct sales Using a distributor has some downsides as well, but they can be minimized by building a good team, or use a distributor?
within reach of a small business trying to enter a new market.
relationship with a distributor. - Not your own people If you're looking You to expand won't be your ablesales to directly to newmanage markets, every then step there's of the oneprocess. big question While you it may mustmake ask: do you I build a direct sales nervous presence to loseor some use a control distributor? over the Each sales method process, hasyou its benefits can manage and drawbacks, the risk by building but a transparent with your distributor with constant and feedback we're going to make a strong relationship case to use one method over the other in almostupdates every instance. from both ends. What's the difference between directto sales and distributors? - Distributor has many products represent A direct sales presence You may means not be that theyour distributor's company top establishes, priority at manages, any givenand time, pays and a you sales want team toof be one sure or more people your in the target market. product is not getting shuffled to the back of the line. Once again, a wellestablished relationship with constant contact will ensure that your product is getting An outside agent the isattention any entity it that deserves. will sell your product in exchange for a service fee. One example is a sales sells your product in exchange for a percent of the sale. A distributor is similar to a - rep, Not who a "turn key" solution rep, except theyYou would buy product from your company and sell it directly to the end customer. can't just give the distributor your products and expect success. You'll have to manage the relationship. This takes time, but it's still less costly than trying to install a Is Direct Sales direct Better? sales team from scratch. For most businesses expanding into new markets, especially international markets, hiring a distributor isIado better decision—at least until there is enough return from the market to justify So what do next? building a direct sales presence. If you aren't convinced that a distributor would be better for your organization than establishing a direct sales team, seek help from a consultant who has experience establishing a presence in new Sure, there is one major advantage to having a direct sales presence—control. Control over the day markets. A consultant can use his or her experience to analyze your opportunity and recommend theto day activities your sales personnel is appealing to most business owners. But this control comes at a best course ofof action. heavy price. To start, you'll need to spend the time to hire someone in that market, then train them, then equip with sales material and management, if not office space and equipment. These costs Before youthem choose a distributor, you need to know …. are prohibitive for most small businesses looking to expand internationally. Choosing the wrong distributor will set you up for failure. The wrong distributor simply won't generate sales, and you'll have wasted at least a year finding and setting up an unprofitable And there are even more costs that we haven't mentioned yet. Each market has it's own unique laws, relationship. cultures and customs that are essential to master if your company wants to establish a successful sales presence. isthings a classic example of marketplace with unique legal structures business There are Japan certain to look for in aa distributor, and they are different for everyand market. The best customs that, if not followed, guarantee failure of anyin sales efforts.relationships, It's hard to pin down exact thing to do is to find a professional, one the with experience distributor and hirean that monetary value to this learning, butand askidentify yourselfthe this: Can you afford to establish, manage, and pay a professional to help you search for right distributor. sales force in a foreign country for at least a year while they learn the ropes and generate no revenue? VSG Consultants can help. We will work with you to understand your product offering, identify What about a Distributor? Is a Distributor newyour markets? whether a distributor is the best option for youbetter based for on how business sells today, and develop a Distributors are a cost effective means to enter amarket. new marketplace successfully. Here are just a few of plan to replicate that process in an international Once we've got a process in mind, we'll begin theidentify reasons: to the best distributors for your company and work hand in hand with you to select the best one.- No Overhead Unlike running your own sales team, a distributor will take care of the hiring, managing, and optimization of setup its channel. You're just their while After that, VSGpayment, can continue by helping you the processes andborrowing management ofdistribution, the distributor relationship. Orthey we can handle simply the maintenance. manage the whole relationship for you, while you reap the benefits of a well- selected Established and managed Channel distributor with Local inKnowledge a booming marketplace. A good distributor will already know all the laws and customs of the market you're To learn more about entering. howYou VSG don't Consultants need to reinvent can helpthe you wheel—you with distributors, can use head someone over to who already has valuable local knowledge. - Understand Pricing and Purchasing Power of Market Along with knowledge of the laws and customs comes knowledge about the most successful ways to price and market your product locally. - Cost Effective
doc_502703208.rtf