Developing the trust required for partnering with Distributors takes efforts and time but gives better outcomes long term. Distributors may not be cooperative at the start. It is the Manufacturer’s commitment to providing the right support will reduce their resistance and allow the Manufacturer to create a viable and long lasting business relationship.
Problems can arise at different stages of the relationship. You as a Manufacturer have to recognize some warning signs to ensure a quick resolution. It is not always easy to work out the real cause of distributor problems especially if you do not know the markets or the business practices of local distributors in a foreign region.
The 10 warning signs of a Distributor problem are:
No reactivity – no response to communication for period of more than 7 days.
No reporting on time
No website and/or no Business email address available
Early request for samples before a sales and marketing plan is put in place
Regular complaints/issues over price
Reluctance to give suppler customer feedback
Playing the language barrier and the culture difference cards
Key staff changed
A poor understanding/ consideration of the value proposition of the manufacturer’s products
A blow out in payment terms with no valid reasons
Avoid getting in that situation by working with TBMedex - If you are a medical manufacturer wishing to expand your products in the MEA region- we have the expertise to carry out due diligence to find and manage your most suitable Distributors to your Business.