How A CRM Based Distribution System Combats New FMCG Challenges

fmcg distribution

An FMCG organization needs constant supply point of stocks to all points of retail. This means that your products need to be appeasing for both your customer eyes and taste buds. This means that you are trying to provide the most gastronomically appeasing product at the best price and latest manufacturing dates. All these are hard to achieve through a traditional process manufacturing supply.

In-order to meet these challenges, you need to have a CRM-based Distribution Hierarchy that understands and solves the modern day distribution goals.

Limits of Traditional Distribution System

A traditional FMCG distribution process involves visiting a distributor location and collecting orders. In some cases, you could have designated sales persons visiting retailer places and collecting direct orders from customers. Both these system have proved its worth through years. But they are also conventionally rigid process that needs your products supremely adapted to the concerned environment, making them irreplaceable for a concerned requirement. Otherwise, one needs to accumulate customer goodwill concerning quality and material.

On-hindsight, the three biggest factors that decides sales are product quality, manufacturing dates and prices. Unless you are one of biggest manufacturer or have a dedicated distribution chain, traditional process of distribution fails to meet these target goals.

What Retailers Demand? (And what you need to Provide)

If a retailer wants to build a consistent consumer-base, one needs to be careful and consistent with your product choice. Once a consumer is disappointed for a particular product, one may never return or buy those products. This means that retailers are being collectively more conscious about their product quality and diversity. Often, the products choices are made based-on consistency than diversity.

Here, this means that to be a successful player in FMCG industry, you need to be consistent and differentiated at managing retailers. A CRM-based distribution hierarchy enables you to meet and overcome these limitations concerning specific audience interest.

Benefits of a CRM-based Distribution Hierarchy

Under the stress of these issues, a CRM-based distribution hierarchy works as a practical potion for resolving these problems. Here are the chief implications of adapting CRM-based Distribution hierarchy. Under these circumstances, a normal distribution hierarchy resolves many market limitations.

Monitoring Retailer Stock Level

As previous demonstrated, a modern retailer seldom has the patience to wait for stocks to be replenished by concerned distributor or FMCG stockist. Here, a retailer could simply decide to give the order to first concerned supplier or distributor. Under circumstances, many FMCG has lost their order to competitors even after the concerned retailer had previously sold-out their product.

A visiting sales person can easily overview the existing stock-levels with every retailer. Based-on this, FMCG CRM can calculate round-about date of stocks outflow for every retailer. This enables concerned sales representative to visit concerned stores at right time for acquiring new orders, while remaining

Create Distributor and Supplier Ordering Checklist

A checklist is a set of instruction that filters processing and manual errors from a regular process. Kapture CRM helps you avoid errors that could plague your process-cycle. (Read wrong ordering, wrong date of ordering, price of stock etc…) Any of these errors could undermine a successful sales deal, resulting in return of Goods.

With CRM, you can prescribe a consistent ordering process that follows a clear-set of protocols to create new orders. This involves error-checking and approval process that cuts-off any confusion at its budding state.

Create and Nourish Retailer Network

A modern FMCG manufacturer can increase sales via two means – set-apart large advertising budget or build and nourish a network of retailers. Although an accelerated spending spree could certainly win eyeballs, a retailer network brings consistency and long-term prospects that you can trust.

Kapture CRM lets you systematically build a retailer network that actively showcases and sells your product. You can calculate previous purchase volume and award large sales volume with special discounts that further cascades your product sales.

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