Channels through which to grow sales
The channels through which Wholesale Distribution businesses operate are varied and there are a number of operational areas through which it may be possible to grow sales. These include:
- Retail - sales to retailers of new products or ranges, or increasing the number of retail outlets through which products are available by acquiring new stockists
- Wholesale - sales to other distributors, allowing them to expand their offer to their customers
- International - opening up the business to distribute or sell products direct to consumers in overseas territories
- Internet - direct sales to end users
Internet facilitates expansion into retail, wholesale and international
To many, the one with the most potential is the Internet. This is because internet channels not only enable Wholesale Distributors to reach consumers directly; it also facilitates expansion into retail, wholesale and international marketplaces. As many will be aware, most businesses that rely on moving volumes of product through the business are identifying that multi-channel is an essential consideration for success. The importance of mobile should not be underestimated. Smartphone and tablet sales indicate that the trend for online mobile shopping is continuing to increase.However, the prospect of commissioning a full blown e-commerce presence raises a number of issues. Investment to get the infrastructure up and running; secure payment and an efficient customer fulfilment process may be immediate key questions that are seen as barriers to entry.