Expand Your Company’s Distribution Channels

Small businesses want increased sales; however some may be struggling to do just this during the current economy. Rather than thinking of ways to get more customers, how about thinking of ways to boost sales and brand awareness while reducing risk? How can your products or services reach out more effectively to more consumers?

One of the best ways to gain more buyers and increase revenues is to sell through additional venues as well as using the services of the third party logistics company. Expanding your distribution channels can be an effective tool to increase your business. Advantages to broader distribution channels include: stronger profits, less risk, and brand building. Making products available in more locations will raise consumer awareness of your offerings. The benefits of hiring a third-party logistics provider are countless. They partner with clients like you to develop and implement supply chain solutions to accurately distribute products to your customers.

Here are some suggestions to get you started:

Fulfillment

If you sell merchandise online, order fulfillment outsourcing companies offer complete package solutions. Their services include but are not limited to: climate controlled warehousing, inventory receiving & storage, shipping and return processing services, etc. The advantages of this distribution method are many: wholesalers buy in bulk, which increases your bottom line and reduces your storage needs, and they often have transportation networks in place which alleviates you of the cost and hassles of moving your products. Warehouses store inventories and also provide control models which determine the required inventory for specified protection against an out-of-stock situation. There are also procedures for allocating inventories in excess of those needed for immediate sales to minimize warehousing cost.

Direct marketing

This can open up your products and services to a local, regional, national or even global audience. Sending out flyers, brochures or postcards are common tools used to open up direct mail channels.

Telemarketing

Opening up a telemarketing distribution channel can give you access to consumers nationwide without having the expense of opening retail locations. Telemarketing does require trained staff, however, which can raise costs.

Internet

E-commerce is growing constantly. Look at selling through well-known marketplaces and up-and-coming comparison shopping sites.

Although there is no magical solution, the best channels for your company hinge on your market, your product and what your competitors are doing. So start small, market aggressively and hire a third party logistics provider that can help you grow your business.
 

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