How to Be a Good Distributor: 6 Simple Tips to Follow

Posted 7 months ago by Max Komonov

As an ecommerce retailer, whether you’re brand new to the online world or a growing business, certain roles that you take on are critical to your success.

One of these is as a direct distributor to your customers.

As you compete in the highly saturated market of ecommerce distribution, how can you stand out against the competition? Can you really provide a high-quality, memorable experience for retailers and consumers?

This post explores how distributors can fill in the gaps and solve retailers’ and consumers’ pain points through stellar service, reliability, quality products, and much more.

Let’s jump right in!

What is a Distributor?

Direct

When a business or entrepreneur sells its products to consumers, this is known as direct distribution.

Traditionally done through retail settings and in-person sales, direct distribution has taken on a league of its own through the massive shift to online shopping in the last decade.

Since 2010, global ecommerce sales have increased by over 800 percent. These astonishing numbers depict how all-encompassing online shopping has become for the world, solidifying it as the most convenient and popular way to shop around the world.

Source: Ecwid Insights

Distributors play a pivotal role in the success of online shopping and can truly make or break a customer’s experience.

Indirect

Another side of distribution is known as indirect, where you’re working with manufacturers and creators to get their products on retailers’ shelves, with wholesalers, or consumers.

A distributor is essential to getting products and goods to retailers and wholesalers. Many distributors bridge the gap between the product manufacturer and the end user, typically a retailer, and sometimes the consumer.

6 Tips on How to Be a Good Distributor

If you’re a distributor, you may wonder how to improve your processes and offer a better experience for each entity you serve. Let’s explore how you can be a good distributor here.

1. Provide Stellar Customer Service

Amazing customer service lays the foundation for any company’s success, including a distributor. Suppose the manufacturers you buy from have a positive experience working with you. In that case, they will likely continue to sell you their products and, in time, offer you discounts and other incentives.

As the distributor, it’s your job to ensure the retailers you’re working with feel like they’re being taken care of, they’re respected, and their consumers’ wants and needs are being met through the products you’re delivering.

So, what does amazing customer service look like? Clear, transparent communication. Respect the needs of your clients, listen to their feedback, and make the changes that will improve their experience.

In doing so, you’re showing your clients how important their business is, and what you’re willing to do to serve them better.

2. Build Strong Relationships

Focus on building partnerships with the retailers and manufacturers you serve. Strong relationships built on trust, respect, and mutual understanding can be one of the most significant tools to leverage in your business.

Think about it – if your distribution business relies on referrals, the relationships you prioritize within the industry can help grow your roster through word-of-mouth referrals.

The more people you interact with and build lasting relationships with, the better off you’ll be.

3. Offer Competitive Pricing

Maintaining a competitive pricing model will benefit both you and the retailers or consumers you’re selling to. Pricing will set your company apart from the rest; in this note, you’re competing with other distributors to win more business!

As you strike deals with manufacturers and build partnerships, you can negotiate pricing to benefit your bottom line and offer better deals for your clients.

4. Focus on Marketing

Marketing tactics and strategies are critical to the success of distribution of any type of product. Many distributors use messaging like Limited stock! or Buy more, save more! so their clients are encouraged to make purchases quickly without missing out on special discounts or promotions.

Promoting products should be done through compelling descriptions of each product’s benefits, professional photography, and competitive pricing. Utilize various social media channels, paid ads, and email campaigns to promote your products effectively.

5. Stay Organized and Thorough

Distributors often store manufacturers’ products and transport and deliver them, while managing logistics throughout the entire process. This is no easy feat!

Whether you utilize transportation software or inventory management, staying organized and thorough is critical in providing a high-quality service from A to Z.

6. Guarantee Secure Storage

If storage and transportation are part of your offering as a distributor, be sure to provide the best for your clients. This means safe and secure storage to maintain the products’ integrity and craftsmanship before they reach the end consumer.

Whether it’s a small storage setting or a major warehouse, offering storage is a huge benefit for smaller manufacturers that don’t have the manpower or capital to invest in their own.

Pain Points Distributors Should Avoid

Here are a few pain points and pitfalls of distribution that you should work to avoid at all costs.

Avoid over-ordering product

Inventory data and management should always be one of your top priorities as a distributor.

Investing in the right technology and tools will ensure you’re never overstocking shelves with products that may not sell quickly or at all.

Lack of technology

Technology continues to innovate and improve many processes in the ecommerce landscape, particularly for distributors. From inventory control to order management and fulfillment, there are so many tools available that can expedite your processes and improve your bottom line.

Improve order processing and reduce manual errors, increase staff productivity, and much more with technology designed for distributors.

Explore, research, and invest in the technology and software that will add value and benefit to your business and your clients.

Bring Your Business to Life with Ecwid

Whether you’re selling products online or looking to build relationships with manufacturers, Ecwid can help.

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About The Author

Max has been working in the ecommerce industry for the last six years helping brands to establish and level-up content marketing and SEO. Despite that, he has experience with entrepreneurship. He is a fiction writer in his free time.