Channel Marketing is an Evolutionary Process !

Channel Marketin

As a New business start-up expert, with having successfully started many businesses from the scratch in verticals such as in Office Automation (Nashua, Saudi Arabia), Telecom Sector (Panasonic KTS, Mumbai ) and Desk Jet/ Ink Jet Printer consumables (Hewlett Packard-Kores, Western India), Education Sector (Fire & Safety), UPS/ Inverter (Microtek) – I suspect many business-owners do not realize that – Channel Marketing is an evolutionary process !

Channel is an extended arm to the principal company’s marketing effort. Please do not treat Channel partner’s business separate from that of yours. Channel’s success wholely depends on what the Principal’s strategies are to create demand and market its products. When we set up the channel at the start we cannot anticipate everything – whether it is the future trend of product acceptance in the market or the changing requirements of the signed-in channel partner! With globalization extending its reach into all possible developing markets, the competition is getting tougher and every product or package solution is getting commoditized. Box-Selling and/ or Box-Pushing is a typical characteristic of any successful channel partner.

While starting up ‘Hewlett Packard-Kores Deskjet/ Inkjet Printer Consumables Sales Distribution’ assignment – to identify or create, build, register as well as rationalize a thriving channel, I realized that Channel Marketing is not the same as Direct Marketing. At Kores, we achieved 30% increase in the Market-size for HP Printer consumables within the first 18 months of operation, and built 24% Kores-specific Market share by displacing existing tall distributors like Redington and Tech Pacific (now bought over by Ingram Micro). We earned a yearly Sales turnover of INR 55 crores in the Western India. Indirect Sales has its own advantages as well as dis-advantages in promoting a new or existing product, solution or both. How do we differentiate our product from the other competing variants that are exactly meeting the same buyer/ end-user’s requirements? How do we arrive at price stability and protect bottom-line Margin at the earliest ? How to create a company-specific channel amidst increasing trend of channel partners not being loyal to any specific brand ? How to ensure product availability without increasing inventory-carrying cost? How to protect and retain a well-built channel to ensure longevity of product life at the same profit margin?

Such queries and many more will be solved through our efforts in business consulting. With more than 22 years valid experience in Sales & Marketing and Start-up skills – Channel Marketing as well as Corporate Sales’ issues are well attended – to arrive at lasting business solutions. Visit our website : Rambuna Consultants : to know more about our capability – so that we can create, build and/ or sustain your most valuable market share in your business activity despite growing competition !


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