Phase 1: Build the End-State Vision

Abstract

It’s not uncommon for a Manufacturer to sell its products to a motley group of Distributors across multiple channels. When the reach is too wide it reveals a lack of clarity and focus. The fashion in which channels are shaped and incentivized should be mirroring the company broader picture, its vision, its customer value proposition, its own capabilities while keeping in sight the external trends and challenges. The chapter, via ready-to-use frameworks and cherry-picked examples, explains how all these inputs should be assembled to define a performing Distribution Network and Commercial Policy. It also reviews the nuts and bolts of market dynamics analysis, in order to anticipate potential consolidation risks. At the end of the chapter, you will be able to take stock of the situation and define what is the right Distribution model for you. Understand the gap between the status-quo and the ideal future scenario, anticipate the echo-system risks, define a roadmap and prioritize those changes that will really move the needle.