Paint channel terminal construction distributor how to achieve profitability breakthrough

The industry is developing and the market share is increasing. Why does the sales volume fail? Faced with rising raw materials, consumers are increasingly critical and other pressure, small and medium paint distributors in the end go from here, what is the development of small and medium dealers?

First of all, let us analyze where the profit points of the current small and medium distributors are:

Profit Point 1: Store Retail Many small and medium-sized distributors are operating one or two stores. Since it is a store, of course, there will be some unfamiliar customers who have no business relationship. Of course, the business at home is limited, and it takes time to accumulate. The stores that have opened longer often tend to be better than those that are opened soon. Store retail business only accounts for a small portion of total sales. Small and medium-sized dealers must do big business, and they must change from "sit-sit-business" to "business-to-business". Only by taking the initiative can they strengthen their channels.

Profit Point 2: Community Promotion With the guidance of some well-known brands, such as China Resources, Garbo dealers have started to promote in some new developments and communities. The usual practice of dealers is to recruit one or two salesmen to run in the community. Such promotion is costly. The salesman's salary plus commission accounts for about 15% of the total gross profit. Removing some of the cost of sales staff and advertising costs, basically the risk is greater than the proceeds. Even if one or two salesmen with strong business abilities are recruited, how to retain talents is also a headache for small and medium-sized dealers.

Profit Point 3: At present, home improvement companies also have many dealers who are deliberately exploring the channels of home improvement companies. In fact, the home improvement company's channels can be said to be a tasteless, food is tasteless, and it is a pity to abandon it. First of all, home improvement companies choose to paint paint products require very low prices, which leads to this channel may only have 20% of the gross profit, and home improvement companies usually need to pay or monthly settlement and rebates and other issues, plus some small home improvement company to fight a * In other places, replenishment becomes the biggest problem, so most small and medium-sized dealers are as hot as the mountains.

Profit Point 4: Distribution Channels Many brands are strengthening the construction of distribution channels. A paint company in Jiangmen, Guangdong invested heavily in 2007 to help the first-tier dealers to develop a total of more than 4,000 county-level distribution stores, sales increased by about 35% year-on-year. For medium and small-sized distributors with small financial strength, this is indeed a development path that puts small output into rapid development. However, following this, because the company has developed a large number of distribution customers in a short period of time, there is no good way to help these county-level distribution of retail products for customers, so the loyalty of these customers is slowly weakening. According to statistics, in 2008, the company's distribution customers across the country shrank 30%, resulting in slow sales growth in 2008. For small and medium-sized dealers, taking the same road may help sales, but this kind of help is temporary.

Profit Point 5: Engineering Channel Almost all small and medium-sized distributors are looking at the engineering channels and are afraid. Engineering can indeed create a group of overnight bosses, but it can also delay a company. Because small and medium-sized distributors do not have financial strength or good social connections, it is even more important that they do not have engineering experience. Projects involve accounts receivable, bidding, corporate qualifications, and on-site supervision. The entire process has resulted in many distributions. Businessmen are gazing.

Then, where is the development of small and medium-sized distributors?

In fact, it is not the above channels that cannot be done. The key is to look at how small and medium distributors do, that is to say, how small and medium distributors should combine their own advantages to do a project for a specific channel. If you say that all of the above sales channels are doing, it is obviously not enough. It is feasible to choose a way that suits you and strive to achieve your goals.

If you are talking about doing distribution channels, then start with the distribution steps: First: investment. Nowadays it is difficult to run a brand with one mouth and two legs and run to a distribution customer to lobby him to give up his brand and run your brand. Because he will meet at least one or two such people every day. In a short period of time, what is the minimum investment that will allow you to find the right distributor? It is obviously more appropriate and effective for the conference to attract investment and communicate with each other. Appoint a time and place to rent a meeting room of a hotel and invite the county distributors to come in. Then ask the manufacturer's representative to introduce the company, introduce the products, do some experiments to show the advantages of the products, demonstrate the product selling point of the brand, and launch the site. Signing contract can enjoy a certain degree of preferential measures, usually this way can reach more than 50% of the transaction rate.

Second: Follow-up support. What the contracted distributors are most concerned with is how they can successfully sell their products after running your brand. At this time, you can't turn off the dispensers. After the customer enters your product, he doesn't bother to ask. Helping to distribute customers' retail is your most crucial task in establishing the confidence of your distribution customers and increasing your customer loyalty. Similarly, meeting marketing can be used to help distribution customers promote products. The distribution client is responsible for the promotion of a new development and invites the owner to participate in the renovation lecture. As the general distributor, you can use the resources of the manufacturer to invite the factory representatives to the site to cooperate with the computer and the slides to conduct some renovation lectures for the owners, such as: How to buy solid wood doors, how to buy the floor, the harm of inferior paint, how to buy paint, do some product demonstration scrub test, environmental protection experiment is very intuitive to affect these owners, and do some on-site order promotions, such as , Supporting the purchase of wood lacquer and wall lacquer, sending airless spraying services or sending children's room special wall paint and so on.

There are a variety of marketing tools. The key is to meet consumer demand and to vote for it. The national small and medium-sized distributors account for 90% of the market share, and the market competition is becoming more and more fierce. Those who wish to make a career in the paint industry and can only laugh at the end are only those who are willing to learn and are willing to try and have been making unremitting efforts.