The article explains:
Differences between direct and indirect sales
Advantages and Disadvantages of Indirect Sales
Types of indirect sales
Tasks and functions of sales intermediaries
2 cases of indirect sales
Step-by-step launch of indirect sales using a franchise as an example
5 Common Mistakes When Working with Intermediaries
5 Scenarios for Using Neural Networks to Increase Website Profits by 40%
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Indirect sales are what every greece email list other company should strive for. This is when you do not look for clients for sales, but transfer this function to intermediaries. The process goes, the money comes in, and everyone is happy. Sounds tempting, doesn't it? But, as everywhere, this scheme has its nuances.
In the case of indirect sales, you can't just pick an intermediary off the street - you need to choose one carefully. In addition, you will need to legalize future mutually beneficial relations. There are four forms to choose from - dealership, branches, franchise and distribution. And it is also important to calculate the possible mistakes that others made, entrusting sales to third parties.
Differences between direct and indirect sales
There is a basic rule of successful marketing. It goes like this:
"Produce only what you can sell, instead of trying to sell what you've already produced."
Following this law, you must first conduct marketing activities to identify the needs of the target audience, and then create a product that would satisfy these needs. However, even if everything is done correctly, there is no influx of customers. Perhaps there was a mistake somewhere?
In fact, demand research alone is not enough. The product may be popular, but it turns out that the project does not take into account the geography of potential consumers. And it is not possible to cover the entire target audience alone. Intermediaries are needed. Their presence or absence is what distinguishes indirect sales (or indirect) from direct ones.
If the sales chain consists of only two participants - the manufacturer and the end consumer, we are dealing with direct sales. This is a more suitable option for wholesale trade, when customers purchase goods in large volumes, and all customers are located in one region.
Sales that involve intermediaries are called indirect.
Here is a comparative table with the characteristics of both options.