Moving towards Value Added Distribution
Distribution is a channel for a company to reach its customers. A manufacturer or service provider cannot reach out to all its customers directly earlier so they go for different types of distributors. This was due to geographical constrain, market credit, and implementation process at the customer end. Due to internet penetration in India, all product information and product comparisons are accessible to all. Traditional distributors were doing this as a service to the customers earlier. Now only market credit and installation are the value add given by distributors for most of the products. Emerging of e-commerce has reduced the importance of the majority of consumer product distributors, technology is bringing closer for the end customer and manufacturer or service providers. This trend will continue to increase and customer will have all options available. This is when we need to move from just distribution to a value-added distribution. Whenever there is change i...