When it comes to business, distribution is the heart and soul of what makes it successful. 

Without it, the product would simply lie in the store shelves and not be sold. This is why it’s important for many distributors to employ several different distribution strategies. Some strategies are more effective than others, but all have their own limitations as well. Knowing which distribution strategy is best for your product is important so that you can maximize profits while minimizing distribution costs. Here are some distribution strategies that can help you gain an edge:

The most obvious distribution strategy is having the product physically present at a physical location where consumers can physically purchase it. 

The drawback to this kind of distribution strategy is that you’re limiting the potential reach of your product. If your product isn’t readily available, then no one will be able to purchase it. Although physical locations can be effective at times, they can become obsolete as more convenient solutions pop up. Also, customers won’t be aware of your product unless they come to you or a physical location.

One of the newer forms of distribution strategy is using e-commerce tools. 

Electronic distribution allows you to market your product without actually having to locate a storefront and set up a sales counter. Electronic distribution methods range from online marketing to mobile marketing through apps and other internet-connected devices. With this kind of marketing, you have the ability to reach customers at any time of the day or night, which can increase your exposure.

Many companies overlook strategies like mailing. 

four gray mail boxes
Photo by Timothy Eberly

While it does take more effort to send physical products, the results can be far more beneficial than traditional methods. One of the primary advantages is that it saves on packing costs. Most physical products require packaging supplies and boxes to keep in stock. Mailing allows you to create a product catalog that customers can go to whenever they want to buy your product, which eliminates the need for packaging materials and can cut down on your overall product creation costs.

You can also use distribution methods to keep your most desirable products in front of the eyes of your most desirable buyers. 

Mailings are ideal for this because many recipients are free to utilize and discard the product. This eliminates the need for costly marketing campaigns, but it also makes it difficult to determine who will and who won’t pay attention to your products. With an electronic distribution system, you can easily send promotional emails or coupons to interested parties. This ensures that you get the most interest from potential customers.

Direct marketing is also another method that is growing in popularity. 

With direct marketing, you can market your product directly to current customers. You do not have to rely on distributors to do the legwork for you. Instead, your customers can directly contact you by phone or email with the intent to purchase your product. Direct marketing gives you the ability to sell to people who are most likely to purchase your product.

However, direct marketing can be quite costly. The good news is that you don’t have to spend a large amount of money to market your products effectively. There are many distribution methods that are affordable. You can use the services of local malls to help you display your products for a low price. You can also distribute flyers, newsletters, and coupons to increase customer awareness. Newspapers can also provide distribution services.

Other distribution strategies include vending machines and clubs.

Vending machines are ideal for short-term product distributions. These machines give customers a product they want at a very low cost, allowing you to maximize profit. Clubs, on the other hand, provide consumers with products at a discounted rate when they join a club.

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