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I'm Speechless - distributor/rep demands on LBS


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Posted



What gets me is there are way way to many similar stories currently
doing the rounds about distributors/reps making it all but impossible
for a cycle shop to carry 'their' brand of product...

In no particular order, over the last 8 months we've had (here on the HUB)

  • Competition; you stock a rival brand so you can't have ours
  • You can't give me enough floor space
  • You won't sell enough units
  • You must have a certain amount of the range on the shop floor
  • We've no interest supplying you as another bike shop in the same city as you already carries our product
  • You will sell at our RRP and margins or we'll excommunicate you

I
mean, seriously now, have these guys (product distributors) taken a
really good look at the current consumer market conditions;

  • Escom 31% price rise,
  • Petrol going ever up...
  • along with food prices
  • .......and the biggest of all of these CRC hoovering up business like it's going out of fashion

It's
not hard to see why legions of SA cyclists order from overseas, and a
worryingly large number of LBS are left with no option but to shut
shop....


(moved from the original post as it was a 'for sale' thread - not wanting to hijack it)

Edited by PPWTF - Today at 7:58am



Posted

 

 

 

i know a rep for omnico very well' date=' and he has never put these kinds of demands on my lbs.  [/quote']

 

fair play and good response HR, let's promote those who are giving good service, put a positive on what was negative ClapThumbs%20Up

 

So who else can stand up for a rep / distributor and give them some much needed good 'air time / press'?

 

My point in all this is not to aimlessly flame or rubbish reps / distributors, but to highlight how difficult it is becoming as an LBS, to stock quality product, do good business from a customer and shop perspective, and stay in business PPWTF2009-07-03 00:10:18

Posted
Pathetic. How can you start a random rant and rave angry thread with no spelling errors?

 

Check again. First line. TO should be TOO.Smile 
jagwil2009-07-03 00:17:09
Posted

I do feel for the LBS if this is the case. I am in the ICT industry and we pick up flack for selling competing brands. It can get pretty hairy....

 

The only option you have (LBS/ICT/Fish & Chips/etc) is to make sure that you offer an added value over and above what others in your area are able to.

 

If you have an LBS that has a lot of feet over the door, you will be able to negotiate better terms and deals with the Reps/Disty's. The more you can offer your rep and your customers, the more successful you will be.

 

However, you also have to feel for the reps in that they are incentive based (target achieved = commission & bonus: target not achieved = UIF and job interviews).

 

The other problem we have in Good Ol' RS of A is that manufacturers do not see us as viable markets. Those that are represented here (and this cuts accross all industries not just bicycles) are represented by a third party with little direct involvement.

 

The net result is that the third party gets the stock for the same price (then add shipping, duties, insurance, etc) as the LBS in Europe. They do need to make a profit (not a "killing") to be sustainable. Their sustainability means you can still get backup service in 3 years time (some don't even offer it after 2 days, but you know what I mean).

 

What would be better for us, the consumers, is if the manufacturers invested (took a risk) in a distibution model that sees them interface with our LBS directly.

 

However, the thrid party distributor now hates my guts because I want to close his business down.

 

See? It is all very simple ......

 
Posted

 

Pathetic. How can you start a random rant and rave angry thread with no spelling errors?

 

Check again. First line. TO should be TOO.Smile 
That's not a spelling error it's a grammar error. But there is one

 

Escom 31% price rise,

 

ESKOM

 

Smile

 

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