How to Market Your Product to Distributors
Sure, you have designed and manufactured a top-notch product that consumers will love. It certainly offers customers great value for their money. But, how will your product get heard and reach the end user? Remember a product is not a product until it’s bought (Descartes much?).
If you’ve got a worthwhile product, you can sell it in three ways: (1) sell it directly to the consumer through your online or physical store, (2) sell it to retailers who can then offer it for sale to their customers, or (3) partner with a distributor who’ll sell it to retail stores (the point of sale for customers). There’s a good chance that you’ll consider using all these three channels. However, the most important way to move a product is to use a distributor.
A product will move faster if you can find a reliable and well-established distributor. On the other hand, distributors are looking for brands and products that can improve their bottom-lines. In fact, what most distributors are interested in is often different from that of independent retail stores. What are distributors most concerned about?
- The profit margin they can make on your product
- If your product is scalable or not
- The cost of shipping, stocking, and fulfilling
- Whether your brand carries several products
With that said, finding the right distributor for your product can do wonders for your business. They cannot only get your product on retailer shelves, but they can also offer you myriads of fabulous opportunities. So, what’s the secret to marketing to distributors? Read on to learn about our 5 trade tips on how to secure the best distributors.
1. Make Your Product Market-Ready
The first step you need to take is to make sure that your product is indeed “wanted” and ready for market. It should be out-and-out developed before you reach out to developers. Besides, you should know how to package your product, its price point, and how to scale production in case of a sudden spike in demand.
2. Get to Know your Potential Distributors
In as much as you want to understand your target consumer, you should also get to know your potential distributors. Figure out what matters most to them. Is it profit margin, brand visibility or long-term, sustainable relationship? In other terms, treat the distributor as a potential product customer.
3. Use Referrals
Partnering with a distributor implies that you’re selling directly to it, not retail stores. Often most newbies don’t get it. So, when reaching out to the distributor for the first time, it’s wise to use referrals. If you happen not to know any referral, you can tell your success story.
4. Target a Niche
While the distributor might be considering several of your competitors, it is best to create a niche so you can stand out.
5. Create a Marketing Plan
Most distributors would want to know that you have got a compelling marketing strategy in place. Why? Because it’s your responsibility to create buzz and pizzazz for your product.