As with all industrial sectors, the distribution industry is changing very quickly. And with new technologies being introduced, it means distributors will need to make changes just as fast to stay competitive.
Because of this, AFFLINK, a sales and marketing organization for the facility management, healthcare, education, industrial, hospitality, and related industries, offers the following six ways distributors can stay on top of their game - carefully - in this fast-changing world:
• Do not make incremental changes to "patch up" a challenge here or address a problem there; instead, solutions should be implemented slowly and tied to a much bigger, long-term plan.
• Similarly, do not make reactive changes to new manufacturer's or customer's demands; these are invariably risky...and often costly.
• Ask yourself: "What should our distribution and management operations look like in five, 10, or 15 years?" This will help you create the long-term plan.
• Work with an e-commerce expert or an existing e-commerce platform designed specifically for distributors that has proven effective; customers are always interested in quality and price, but when it comes to e-commerce, they also want convenience, speed of delivery, flexibility, and transparency; this is the "new normal" distributors must embrace.
• The Internet of Things (IoT) is going to make a big impact on the distribution industry; welcome it. It will help distributors better manage supplies, track and trace orders, minimize "out of stocks," utilize every square inch of warehouse space, and eliminate manual inventory management.
While change is happening very quickly in distribution, this does not mean long-term business strategies should change. Modifications should always be made recognizing a company's long-term commitment to its goals and its customers.