Types of channel partners in Zirakpur Punjab India

Types of channel partners

Channel Partners refer to those middlemen who help in a smooth flow of goods from the manufacturing facility to the final consumer. And in this blog we will discuss about the types of channel partners. Basically, there are 3 types of channel partners that we discuss in this blog.

Wholesalers

Wholesalers are channel partners who buy bulk from the manufacturer, store them and sell them to distributors or resellers.

Channel partner does not convert the goods but sells them in the same condition as they have purchased. Some wholesalers deal in a wide range of different products while others are in a limited range.

Functions of wholesaler

It plays a key role in the supply chain because it handles sales for the manufacturer by selling to the distributor and providing an effective sales force.

Wholesalers can easily collect the goods as per the requirement of the consumer.

The producer concentrates on manufacturing, and the whole sealer handles the sale to retailers.

They conduct marketing and research to identify consumer needs and to increase awareness about products. And they do all the work in such a way so that money can be saved in the delivery cost as well.

Because of providing storage, distribution facilities, and offers credit options wholesaler bears lot of risk of theft of inventory and product spoilage.

Distributor

Distributors are channel partners who buy from wholesalers and sell to retailers. This intermediary in the supply chain sells smaller quantities than the wholesalers.

The distributor delivers some of the same duties that a whole seller does but usually takes a more active role.

Functions of distributor

Their main function is to ensure product availability, product promotion and provides intensive support.

Distribution can also take over promotion even though manufactures generally arrange for the general promotion through press releases trade magazines or articles about their products.

And nowadays social media has also become a platform through which distributors promote their work. It is easier for distributor to arrange for discount coupons and in store promotions since they have contractual relationship with retailors.

Distribution companies tend to collect more market information in the field of their business as compared to manufacturers scenes they are closer to the market.

Customer satisfaction, feedback on trends and competitors' situation is very important in markets that change rapidly and markets that require a response to manufacturing side market events.

Retailers

Retailers are channel partners who also buy from wholesalers, distributors and agents and sell goods to the end customer.

These intermediaries vary according to the size, price and type of products sold by them.

Functions of distributor

They buy in bulk but sell in relatively small quantities as per the requirement of the customer and provide a wide range of products and services.

The locations of stores are so convenient so that customers are not inconvenienced and whenever the customer wants the goods, he gets it at the same time.

They provide services to make it easier for consumers to use and buy products, this may be in the form of credit by which a customer uses a product now and pays it later.