Question

Topic: Research/Metrics

Measure ''distribution Capillarity"

Posted by Anonymous on 2/3/2011 at 3:56 AM ET 250 Points
I'm looking for a way to measure/assess the capillarity of our distribution network by country or region. Is there any tools ,formula or concept to do so ?
thanks
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RESPONSES

  • Posted by koen.h.pauwels on 2/3/2011 at 9:20 AM Member
    Hi Stephane,

    Measuring how widespread your distribution network is.... it is all a matter of benchmark. One approach is to calculate all possible distribution points, and then divide your distribution points over this number. In academia, I have not seen such a formula

    Koen
  • Posted on 2/3/2011 at 9:46 AM Author
    Hi Koen
    Thanks, I missed to say that I was looking to assess the whole distribution channel 2ter or 3ter sometime, that is to say including sub distributors and resellers.
    Best regards
  • Posted by Frank Hurtte on 2/3/2011 at 2:12 PM Accepted
    We work with people to do this on an ongoing basis.
    Here are some metrics we use.
    1) How well are they selling all of your products (vs. cherry picking your best ones)
    2) Are they investing in your brand (trade shows, marketing, links to your website, demos, etc)
    3) Do you share shelf space. (are there competitors on their line card, are you their best friend?)
    4) Do they participate in mutual planning?
    5) What is their market share for your kind of products?
    6) Are they market makers or market servers?
    7) Do they share information? POS information, pricing information, etc
    8) Do they order the right stuff in the right quantities?

    If you have other distributor/distribution questions - feel free to contact me via my profile or visit our webpage.
    I am open to a short conversation on any of this.

    Frank Hurtte
  • Posted by Frank Hurtte on 2/9/2011 at 9:49 AM Member
    Stephane,
    If I can provide any additional information, let me know. I would be more than happy to speak to you on your distributor issues. There's never an obligation or a fee to just chat.
  • Posted on 2/9/2011 at 11:05 AM Author
    Hi Frank
    Thanks , very busy this week but yes early next week on monday let's have a chat . What 's is your best time ?( I based in France)
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