Each year vendors and distributors set aside a large amount of valuable resources to promote brands and products they represent. All this effort is aimed at influencing consumers into buying products endorsed by the channel.
p____p In today’s times when there is a glut of products available in the market, brand-building may seem to have lost some of its importance. More so when scores of unbranded products are making the rounds in the market place and are being lapped up by gullible unsuspecting consumers.
p____p Nevertheless, brand-building as a strategy is still very much an integral part in distributors’ business plans. It also continues to stay high on an organization’s list and remains just as critical to a company’s success. All this keeping in mind that distribution houses and channel businesses are no longer warehouses and box-movers as in the days of yore.
p____p Product specialization is a dominant feature in the industry today and as a result distributors’ efforts are shifting from product lines to brand identity. The simple objective behind branding is to create an image in the consumers’ minds that branded products provide a compelling value proposition.
p____p The end objective of the channel to influence consumers into making specific purchasing decisions at competitive prices would be based on brand-name recognition, in addition to product performance. In the end, quality of a product and its reliability protects the brand value that has evolved.
p____p While the scene reveals that distributors, along with its suppliers, work toward developing strategies to expand and fill market positions, increase profit margins and grow business, they must also take into consideration the need to protect and enhance brand images as an elaborate and systematic plan. These, when implemented and evolved, would create a strong value proposition. A good buying experience would also ensure repeat purchases.
p____p The crucial step is when distributors conduct business with manufacturers who are committed to customer satisfaction and preserving the integrity of a brand’s product portfolio. From there on, the distributors’ main role in establishing a positive brand identity would be in putting in place a carefully selected and nurtured channel network, and ultimately build an effective system of product delivery to the end-user.
p____p Finally, it is the dual responsibility of the distributor and its resellers to share the same business philosophies and affinity for excellence, to ensure a brands success. Furthermore, testing, certification, packaging and installation are services that would heighten brand awareness.