How to become a distributor?

Facing the media or advertising with the term "distributor", we can not always properly understand its meaning.Distributor - trader, but how and on what rights he spends his work - it's not clear to everyone.Let's try to sort out who he was, but at the same time how to become a distributor.Why

manufacturer distributor needed

relationship between the distributor and the manufacturer built on a natural in today's economy you want to expand the market of the exporting their products abroad, while reducing their costs to a minimum.

realize these plans he helps the official distributor - the mediator.By the way, borrowed from the English language the term means "distributor", "one who distributes the product."Distributor to do so: purchasing goods for their money from the manufacturer, it distributes it to the regions on their own behalf.

But, by the way, it often has a downside - the manufacturer begins to cost (and in connection with the contract of agency - legally) depend on how the agent is conscientious, adventurous and, most importantly, whether it has the capacity and willingness to provide favorabletransaction.

How to become a distributor

If one or another company or the company decided to acquire the status of the distributor, it must first issue the corresponding agreement (the so-called "contract on marketing").It can have as an exclusive (granting the right to sell the goods only to a given company) and non-exclusive.

course, engaging in relationships mentioned, the company with the rank of "official distributor" becomes an ordinary reseller, which acts as a wholesaler.It usually supports long and close relationship with the exporter and is responsible for promoting and marketing its product in a particular area of ​​the country, which is pre-assigned to it.

What you need to do to become a distributor

Answering a question on how to become an official distributor, we have already mentioned, the need for an agreement on sales between the firm and the firm-producer-seller.But to do this first in the selected company should send an appeal to offer their services for implementation.

This treatment is usually indicated scope of the company, offered himself to the role of distributor, its mobility, pace, coverage, number of clients and opportunities.Considerable attention should be given to the review and the market in which work will be done, as well as an indication of the volume of sales on it of certain goods.

The purpose of this treatment is to be interested in their future partners in the services offered, while showing your own awareness of the possibility of moving goods and how to advertise.

Proper networking usually ends with business negotiations and the signing of a distribution agreement.

rights as the distributor on the market

Exporter often gives the distributor exclusive rights to the sale, and he volunteered to go in this market, not only to compete, but also strongly contributing to the promotion of a specific product and its advertising.

In addition to these benefits, the exclusive distributor receives from the exporter the right to use the trademark, the possibility of organizing training and after-sales maintenance of the product.

For greater clarity as to the "manufacturer-distributor" of the International Chamber of Commerce had issued guidance on the compilation of the relevant agreements.In it, among other things, highlights some aspects of the activity of distributors:

  • producers lose an advantageous position in the territory where the distributor operates;
  • relationship between them is for a specific period of time;
  • cooperation can not be episodic in nature;
  • relationship between a manufacturer and distributor accept confidential nature, but the sale of the finished product bears a restriction of freedom of action of the distributor, in particular, it is expressed in abstention from competition.

Features agreement concluded between the producer and distributor

exclusive distributor receives from the producer the exclusive right to sell and placing certain agreed contract goods on clearly limited area.He is obliged to buy these products only exporter with whom he enters into an agreement.

exclusivity in the agreement may relate to both the territory in which sales are made and the names of products or customers.If the condition of exclusivity is not present, the contract area may be an unlimited number of distributors.

Features of the legal nature of the distribution agreement

legal nature of the distribution agreement is organizational.So, on the one hand, the acquisition of a distributor contract realized goods exporter, which is confirmed by separate sales contracts, on the other hand - selling them at designated areas of this product, which is also confirmed by the conclusion of certain contracts of sale, but withconsumer.

Therefore, as you can see, it is very important before you become a distributor of both parties to the transaction (exporter and distributor) had stable rules of engagement.They agree in the form of general conditions of sale, and all of them are contained in the distribution agreement.

How is the income of the distributor

Before becoming a distributor, of course, should be identified and the size of the award (in commercial practice it is called "commissions").It is calculated as the difference between the prices for the purchase and sale of goods.

A right to receive commission, the methods of calculation, procedure and terms of payment, usually defined in the agreement of the parties.

Species distribution activities

Today there are several types of distribution activities:

  • General Distributor.They believe intermediary organizes regional marketing of products of any firm through its own network and its own.
  • Distributor having warehouses.It performs the function of storage of goods, the contract for their supply in the future, as well as providing services in sorting and selecting product groups goods.
  • distributor who does not have warehouses, usually involved in transit deliveries.

As you can see, deciding to become a distributor of the company should decide also to how it is most advantageous to the intermediary to be your firm or company.

Can act as a distributor of individual

Along with companies or firms may engage in distribution activities and individuals.All they need to do - understanding of the market of goods or services to which the company aims proizvoditel.Tak, for example, distributors of cosmetics, to find a suitable company for itself, the quality of goods they trust, proving her competitiveness and signing her contract,proceed to the evaluation of the market.

First of all, you should understand what this category of the population interested in makeup, and then you can find shops, including virtual, which are aimed at this segment of the population.Write down all the pros of this kind of goods, it is necessary to prepare its catalog and offer in these stores, explaining why it is profitable to sell this particular makeup.

This advice, as you know, applies to almost all types of goods.

Food Distributor: features of this type of activity

However, choosing a field of activity, it is worth remembering and about their opportunities.After all, if the storage of purchased cosmetics or its residues do not require special conditions, for example, for the one who decided to sell food, they often need.

have in mind not only shelving and storage tanks, and refrigeration units.This means additional costs for their purchase, and then the electricity bill.After all, food distributor must necessarily take care of the method and location of storage of the goods, otherwise it will lose its shape, and the intermediary therefore investment.

few words about the profession of distributor

As you have probably already seen, distribution services - is a good option in a variety of scales - in the form of the work for themselves, and as a means to build large distribution networks or business with enormous turnovers.Everyone can find in its one, depending on the goals and opportunities.

Earnings in this field, no matter who you are - the power distributor, vehicles, hygiene, or computer equipment, depends on your business skills, the ability to promote the product on the market, to show the advantages and motivate them to the buyer.

So, try it, and you certainly will!