Most wholesale distributors are providing value-added services such as credit financing, inventory management, and product expertise. However, manufacturers are finding ways to avoid splitting margins with the distributors and building direct relationships with their customers or retailers.
Wholesale Distributors are still lagging behind most of Logistics Companies in terms of digital adoption. B2B purchasers are expecting omni-channel experiences (website, mobile, in-store), easy access to product information, online ordering, order tracking, and inventory management.
Distributors need to open up regarding investing in digital strategies – towards accelerating sales growth, expanding customer reach, and improving primary customer retention. Building differentiated value-added services is the only way to fend off competition from traditional players as well as online distributors.
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