Posted on March 22, 2022 17:29 PM
DCCL has a robust and a proven distributor sourcing process. This has been applied numerous times and has been constantly improved based on feed backs. Typically, the distributor sourcing process consists of nine key phases.
1. Understanding of business needs
We work with our clients to understand their products and Go to Market strategy. This includes developing clear understanding of the product category, the distribution channels and the customers being targeted.
2. Shortlisting potential distributors
DCCL has a large data base of thousands of distributors in APAC. Normally, we create a short list of 5-10 distributors, based upon our client’s objectives, preferred distributor model and distributor capabilities.
3. Sharing and discussing the potential distributor profiles with the client
We share the shortlisted distributor profile with the client and seek their alignment before contacting the distributors.
4. Alignment with the client the assessment area
We work with the clients to finalize the assessment criteria along with weightages for each of the criteria which is developed based on client’s needs.
5. Non-Disclosure Agreement (NDA) with the shortlisted distributors
Before we share the client’s profile and business needs, we enter into an NDA with the shortlisted customers. This ensures confidentiality of client’s plans.
6. Working with the distributors to secure proposal
We then share client’s background and their needs with the Distributors and obtain more information as well as their interest level in distributing client’s products. Thereafter, we request for a proposal.
7. Proposal analysis and distributor assessment
The proposals received are thoroughly analyzed (and compared) on the agreed upon assessment areas. At this stage those distributors who fail to meet the assessment criteria are eliminated. A face to face meeting (virtual meeting during Covid-19 times due to travel restrictions) between client and distributors is organized.
8. Negotiations with the distributors
There may be couple of rounds of negotiations with the final shortlisted distributor/s on brand’s development plan and key trading terms. References from their principals are obtained and validated.
9. Business award and Contracting
Once negotiations are concluded we will provide recommendation for distributor/s to the client. Emphasis is given on ensuring that comprehensive contract along with KPI’s are executed.