Helping Manufacturers And Distributors Improve Sales Performance And Profitability • 800-867-2778 • Issue No. 49

Robert Nadeau
Managing Principal
Distribution channel realignment
A demanding but very rewarding business decision

The complexity and duration of the challenges we've recently experienced have never been seen by the current generation of business leaders.

Manufacturers and distributors face economic uncertainty, intense competition and the ever-shifting sand of government regulation.

Despite these challenges, the basic questions remain the same.

As a business leader, you must determine how you are going to increase sales and improve profit in the current business environment.

One often overlooked solution is to realign your sales/distribution channels with today's economic realities.

Distribution channel realignment is a demanding business decision that can help manufacturers and distributors increase sales and improve profit margins.  Yet for many business leaders, distribution channel realignment remains a desirable but illusive accomplishment.

Business basics

The goal of a business - no matter how large or small - is to sell a product or service, make a profit and have more cash coming in, than going out. 

Accomplishing this basic goal can be difficult during good economic times.  But in times like these, it's down right hard to do. 

As a business leader, your job is to get your arms around what's happening in your industry and get your business headed in the right direction. 

Given the amount of information, opinions and mumbo-jumbo we're all exposed to on a daily basis, it's easy to become overwhelmed.  In deciding how to navigate these uncharted waters, manufacturers and distributors must find answers to the following questions:

• How can we increase sales and improve our profit margins?

• How can we get ahead of, and stay ahead of our competitors?

No shortage of possible solutions

Every business faces challenge.  And for each challenge, there is a wide variety of possible solutions. 

For the past 15 years, the business landscape has been dominated by advertisements and executive summaries touting the benefits that communication technology and customer relationship management can provide.

However, during this same period, very little has been done to improve the structure and the working relationships in the sales/distribution channels so many manufacturers rely on. 

Despite the fact that up to 80% of manufacturer's ability to generate revenue and profit, can come from the resources in its sales/distribution channels, distribution channel realignment has been a largely overlooked solution.

Moving from talk to action

Distribution channels and manufacturer/distributor working relationships are very popular topics of conversation.

Manufacturers and distributors often engage in lofty discussions about the benefits they'll receive when they  make changes to their sales/distribution channels and improve their working relationships.

At the 50,000 foot level there is no shortage of good intentions.

However, very few of these good intentions ever make it down to ground level where all the messy details must be hashed out. 

In reality, ground level is the only place where sales are made, profits are improved and competitive edge is gained.
Distribution channel realignment, step-by-step

These are challenging times for all of us.

Everyone is searching for ways to get ahead and stay ahead of their competitors.

Distribution channel realignment is a demanding but very rewarding business decision that will help manufacturers and distributors increase sales and improve their profit margins.

However, for many business leaders, channel realignment remains a desirable, but illusive business accomplishment.  

To help take the guesswork out of distribution channel realignment, we've prepared a document that describes the realignment process, step-by-step. 

This document is based on what we've learned from helping manufacturers and distributors, in a wide variety of industries, successfully realign their distribution channels and strengthen their working relationships.

As a way to help the readers of our newsletter during these difficult times, we're offering this document at no charge.

If you would like to receive a FREE copy of this document, simply complete and submit the registration form below.

Register here to receive a FREE copy of
Realigning Your Sales/Distribution Channel
This document explains the realignment process in detail.
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