Marketing services for dealers and consumers, comprehensive promotion of the brand and product of the represented manufacturers, increase in sales (search and development of distribution channels), brand recognition (negotiated with the manufacturer, the manufacturer can additionally pay for promotion of goods and brand by the distributor). For example you can take the example of Ulta – Sell to Ulta now.
- The analysis of demand in the region and consultation of the manufacturer on the amount (quantity) of the necessary production of the goods.
If the distributor deals with various technicians and equipment, then his duties include installation, adjustment, servicing of this equipment, as well as training dealers for this.
- Transportation, storage and distribution of the manufacturer’s products
- Warranty service for products sold, work with illiquid, marriage and return of goods
What is the difference between a distributor and a dealer?
Quite a lot of start-up entrepreneurs and people who want to start their own business and start selling products of some manufacturer from their region or foreign, are interested in what is the difference between distributors and dealers? And who better to become a dealer or distributor from the manufacturer?
The main differences between the distributor and the dealer:
The dealer is the next link after the distributor; he has fewer restrictions and more freedom of action. The dealer buys the manufacturer’s product from distributors (usually small or medium-sized in bulk) for their money and then sells on their behalf and at their price, and distributors have more restrictions from the manufacturer (even in the pricing of the sold goods) and act on his behalf. The Wholesale distributor is important here.
The quality of the goods sold is the responsibility of the distributor, and the dealer puts all the guarantee obligations on the shoulders of the distributors or the manufacturer of the goods.
The distributor has the opportunity to negotiate with the manufacturer and officially become an exclusive distributor, therefore, to obtain the right to sell the manufacturer’s goods solely on the agreed territory (no one will have the right to sell this product in the region other than him). An exclusive distributor can sell goods directly to retailers and consumers, bypassing dealers.
Distributors care about the promotion of the brand and the product of the producers they cooperate with, and dealers promote themselves, their main goal is to sell (to sell large quantities of goods at a more profitable price and to earn more on this).