#3 Keys Strategies for Distribution in Emerging Economies
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You might have set up a strong logistics network but do you want that your supply chain is a value creator for your clients. Most supply chains have multiple stakeholders and multiple points where inefficiencies can creep into the system, Add to this the challenges posed by emerging market factors and most start-ups fall short of setting up supply chains that offer a competitive advantage and act as a differentiator in the market space.
The good news is that by following these three tips you will enhance your product offering and get better at setting up supply chains that will make your consumers come back for more!
People buy Your Process not just your product
Customers are constantly looking for more. Some look for more discounts, Others for More Quality but all of them look for a MORE SEAMLESS process. In the age of digital disruption, this seems like a no-brainer right? WRONG. A lot of consumers I speak to on a daily basis choose A product over B, because product A offers them a sense of security, it offers them more value based not only on the discount you offer them.
Your process over the whole product life cycle from purchase to delivery including returns (especially true in case of E-commerce) should involve lesser steps with minimal inefficiencies. For traditional distribution Just-in-Time inventories reduce holding costs but factor-in the cost of lost sales which in turn translates to a loss of client faith in the availability of the product and you will soon realize that keeping buffers is a far better alternative in the long run.
Your process in handling customer service requests can further add to your brands’ X-Factor. Consumers now more than ever are exposed to new products, but add to this world-class after sales process and you will see more consumers knocking on your door to try your product. Of course, the product has to deliver once the purchase is complete, but product-market fit risks aside from the more power you give to your consumers the more they will give back to you.
True across all business sectors but especially in your supply chain network, where human interaction is key. You may have a fully automated warehouse with robots readying products for delivery but until the age of fully autonomous self-driving trucks, you still have to manage real people behind the wheel of your delivery vehicle.
Engaging the “HUMANS” in your supply chain process and valuing their input will always pay dividends in the long run. When your supply chain knows that you value their feedback, they will offer you valuable insights that can help reduce delivery time, reduce transmission loss and even act as sales reps when they come in contact with consumers. Remember the people in your supply chain spend the most time with your products.
Educate your Supply Chain
This may again seem a cost centre activity, but educating everyone from suppliers to warehouse managers to sales reps can have a major impact on your top line. Especially true for emerging markets where accurate information is hard to come by, we must always remember that people always rely on and trust other humans.
When we speak to stakeholders and tell them why we execute certain strategies the way we do them, we help align everyone’s goals to that of the organization as a whole.
Your supply chain does not need to be a cost centre. Given the right tools and education, your supply chain can help drive growth and take your brand to the level you always hoped for!