Private dealer: distribution industry's future five crisis

Keywords: dealer private dealer distribution industry's future five crisis

The problems facing the private dealer. More and more retailers lament: more and more difficult to do business, money and more tired, stretched over one hand more and more. Even, some dealers earn money before, now it begins to lose a little bit, some industry dealers have stayed to the end of this year.

According to state statistics, in 1999, self-employed farmers are 3150 million, while in 2005, becomes 2350 million. Where private dealers also belongs to the category of self-employed farmers, the current number of private dealers in General has been reduced. Private dealer, in the next three to five years, you will experience what issues facing either or crisis?

Replacement of the logistics industry

Dealer sales work, in a sense is a kind of logistics jobs, but increased clearing and maintenance service of the market. Now start with logistics providers to this piece, more and more logistics companies at merchandise distribution, began to involve generation production enterprise direct payment settlement, terminal display service, even market information collection, and other complex features. In certain sectors and certain regions, the logistics industry has been showing his attack, in Eastern China has appeared in a number of new logistics companies, logistics companies with fleet, you can collect them to manufacturers, in Shanghai, the Shanghai-Nanjing-wide distribution of points, and you can make the payment for the collection and maintenance of terminal display service. To some extent, this kind of logistics company has done better than traditional dealer has done more in place more efficient. This also results in East China some manufacturers have started in Shanghai-Nanjing line and line start canceling the traditional distributors, marketing and distribution right handed such logistics company. In Hunan and Hubei and infant supplies industry, Express (logistics) company, makes more than half of the mother and baby supplies dealer in trouble, this type of express company in Hunan and Hubei provinces areas can be achieved on a county-level city of goods delivery services, that is, even if it is a county-level city in small stores, are available through the Internet or telephone order, and then shipped by express company manufacturers, even a dozen pacifier, or you can order direct from the manufacturer, that being the case, but also what the dealer?

Now, the logistics of national networking degree higher and lower distribution costs, service features more and more, production companies and logistics providers to bring products to retailers, or even directly to consumers, the province has the value of the dealer.

The entry of foreign distributors

The author in 2005 contacts with foreign distributors, after several years of contact and explore, discover the main foreign dealers to capital basis. And capital operation, is the most severe shortage of Chinese businessmen of business skills and experience. First of all note that the foreign dealers enter our circulation is the clear industry and region. In industry, foreign distributors only do i18n internationalization of merchandise, goods, international trade, or the original spread from abroad into our products, such as beer, chocolate, and small packages of edible oil, small packaging of milk, household cleaning products, etc. Our traditional commodities, foreign distributors normally does not get involved in, such as liquor, traditional local food, flavoring and so on. We pay attention to what you will find, foreign investment have to encroach on our most of the brewery, but rarely foreign investment into China's liquor industry.

In regional terms, the current traditional dealers typically urban markets to municipal or county-level city, coverage can be extended to several cities, has a large dealer, of course, and manufacturers in the past few years the pathway flat strategy. Now, large manufacturers have rarely provincial total dealer, only small manufacturers to distributors of provincial total distribution rights. Foreign business model is to start at the provincial level, goals are several parallel with provincial market, for example, Zhejiang and Shanghai and Anhui, Guangxi, Guangdong and Fujian province, Hebei, Henan, and region.

Foreign dealer nor is an independent body, but by the investment dealers, carriers, security companies, local market research company, local public relations firms, some organizations cooperation operations, specific operational practices in the selected sectors and regions, the first from the local market research company, a city a industry dealer survey clearly, in a city on a trade a how many dealers as well as every business situation, channel characteristics, performance, hardware resources, etc.