How To Distribute Wholesale Products In Nigeria
Just like any other business, a wholesale business requires that goods be distributed from one region to another at a profit, whether you are selling USA brand name dresses or American designer handbags. The main characteristic of this business-business enterprise is that owners can only dispose off their goods to other businesses or companies but not the public. One should however understand that there are different channels and techniques that should be followed to the latter so as to ensure that the goods reach the intended company or agency on time and in excellent condition. Merchant wholesalers for instance can be involved in a distribution channel where a manufacturer of Gresserb Nigeria Limited wants goods to be dispatched from his warehouse to a quoted company or agency that will in turn resell the goods to the public. For a wholesaler working in Nigeria, one has to be familiar with how to distribute merchandise from one business to another by putting different modes of operation in place.
How to Distribute Merchandise in Nigeria
The main role played by distribution is that of ensuring that products reach the customers in the correct status. In Nigeria, different distribution mechanisms and sales channels have been put in place through the complete utilization of various transportation channels such as the wide road network and courier services. Although there is no ideal intermediary for wholesale distribution different ideas can be incorporated such as;
The use of manufacturers’ sales branches and offices where goods can be withheld temporarily by an agency like CX Africa before being dispatched to respective companies.
Use of wholesale distributors to dispose the rare vendible to various companies.
Use of commission agents in stock distribution.
Advantages of a distribution channel in a wholesale business.
Although having a distribution channel may lead to revenue loss as manufacturers sell the products to intermediaries at a lower cost, there are greater advantages that accrue to it.
It is time saving as the time of delivery is reduced.
In times of shopping, distribution channels are customer convenient.
Through distribution channels, resellers help in boosting sales by persuading customers to purchase wares.
How to distribute a rare vendible in Nigeria
Product distribution requires that goods be stored for inventory before being dispatched to various agencies. A wholesaler working for Galaxy Commodities intending to dispose goods to a given agency like ASG Stores LTD must consider the following;
Preparation of appropriate storage facilities to temporarily withhold the commodities. Examples of warehouses that offer storage to distributors in Nigeria include; Jomry Nigeria ltd, Airex Logistics warehousing, Global Apex logistics ltd,Intergrated warehousing services ltd and Optidar Nigeria ltd.
Different produce should be stored for inventory as this helps in cost research and in the determination of potential revenues. It is advisable that one also determines the amount of inventory required to avoid certain diseconomies of scale.
Establish the distribution channels to be put in place so as to ensure that products reach their destination on time. Failure to distribute merchandise on time and in perfect condition may affect business-business relations as far as the entrepreneurial realm is concerned.
It is key that a wholesaler understands how to distribute merchandise in Nigeria. One can opt to go for a distribution channel that consists of intermediaries who actively participate in the distribution process. Different products require different channels. For instance, a wholesale company such as food pantries in Nigeria that deals in perishable goods requires a shorter channel that will prevent the consumables from going stale before reaching the targeted market.