The Rationale of Intermediary Sales Channels in an Organisation

A sales channel or marketing channel is one of the most essential and crucial tools for management in any business. It’s the way products and services get to the consumer from the point of production. Thus, its purpose in establishing an effective and well-planned sales strategy.
Sales normally depends on the way goods are distributed. There being, the route that the product takes on its way from production to consumer is very important. To ensure a clean and successful sales process, every business have to decide on the best route or channel for its products. The various sales channels that are normally used are manufacturer to direct consumer; Manufacturer to Retailer to Consumer; Manufacturer to Wholesaler to Customer; and, or Manufacturer to Agent to Wholesaler to Retailer to Customer.
As for the intermediary Sales channels, their functions normally consist of buying products for resale to customers. They also help in distributing products and supporting sales to customers by offering services such as financing. Playing on account of the organisation they facilitate exchange of efficiencies and creating of utility. Following is a discussion of some of the reasons as to why, or the purpose or the logic behind intermediary sales channels in any business or organisation.

Logistic functions

Distributors and wholesalers help reduce the burden on organisation’s logistics operations when they assume the responsibility for the physical distribution of products to organisation’s customers. They store the products and provide transport so as to fulfil customers’ orders. Some partners even make a point of taking bulk deliveries from the organisation and split them into smaller quantities that customers order.

Transactional functions

This is one of the most important functions played by the organisation’s channel partners. They help increase the total revenue range when they purchase organisation’s products and sell them to their own customers. Through this the organisation is able to reduce its transaction costs as it’s only dealing with the channel partner. The channel partner in turn gets the product to their bunch of customers. Apart from accessing the consumers on the organisation’s behalf, the channel partner also takes the risk of holding inventory for them. This helps reduce the cost of stockholding and the risk of holding excess inventory for the organisation.

Added value

Channel partners add value to a transaction by customising an organisation’s product which could have been an expensive practice to the organisation. Besides, they (channel partner) are able to add value by grouping related products and services into packaged solutions that enable customers to obtain all their needs from a single source. This help enhance the reputation of the organisation for the needs of the customers are met effectively.

Facilitating functions

Channel partners such as wholesalers and distributors use their sale force to deal with customers , negotiate sales and provide customer services. This facilitate and support sales of organisation’s product. At times channel partners offer credit so as to make it easier for customers to buy which still support sales of organisation’s products.

Support

In case the products are intricate and require support, the organisation is capable of allocating responsibility to its channel partners. The partners then set up service operations that can install, maintain, service and repair products in their locale. This backing reduces workload for organisation’s service teams and also it ensures that customers can get local support when they require it.

It is the aim of every business or organisation to see that it has succeeded in attaining its long run goal. There being, the management thus has the obligation
of choosing the most effective channel. A channel which is well evaluated depending on the cost and benefits, as well as customer convenience.

References

  • Blunt, L. Types of marketing Channels. [Online] Available at <http://smallbusiness.chron.com/types-marketing-channels-21627.html > [ Accessed 19 June 2017].
  • Linton, I. What Are the Kinds of Marketing Channel Functions? [Online] Available at < http://smallbusiness.chron.com/kinds-marketing-channel-functions-20828.html > [Accessed 19 June 2017].
  • Chand, S. 10 Most Important Functions of Marketing Channel. [Online] Available at <http://www.yourarticlelibrary.com/marketing/10-most-important-functions-ofmarketing-channel/5784/ > [ Accessed 19 June 2017].
  • Markgraf, B. What Are the Different Channel Organizations in the Marketing System? [Online] Available at <http://yourbusiness.azcentral.com/different-channelorganizations-marketing-system-24068.html > [ Accessed 19 June 2017].

Point a web domain to the server

There are two ways you could point your web domain to our servers:

  • Change name servers (preferred)

  • Set the A/AAAA records

Change name servers

  1. Log into your web domain account.
  2. Look for the link or tab that states manage DNS (Domain Name Service) or manage NS (Name Server)
  3. You will now see a list of settings such as A Records, Hosts, CName (alias), MX (Mail servers), TXT (Text records), SRV (service), NS (Name Servers)
  4. We are looking for the NS (Name Servers) settings. It will look something this:
  5. Name ServersChange the values to the following:
    • NS1.QUICKROUTEDNS.COM
    • NS2.QUICKROUTEDNS.COM
    • NS3.QUICKROUTEDNS.COM
  6. Save your settings and exit from your domain account
  7. Email support or use the contact form so the we can complete the steps from our side.

Set A/AAAA records

  1.  Similar to changing Name servers first you should log into your web domain account.
  2. Look for the link or tab that states manage DNS (Domain Name Service).
  3. You will now see a list of settings such as A Records, Hosts, CName (alias), MX (Mail servers), TXT (Text records), SRV (service), NS (Name Servers)
  4. We are looking for A record or Hosts setting. It is usually the first in the list and would look something like this
  5. A Records

    A Records

  6. Change to value of the field to the value the is mentioned in your email. The value is four numbers separated by a dot. For example 192.168.122.160 (Do NOT use this value but take the one from your email!)
  7. Save your settings and exit from your web domain account.
  8. Email support or use the contact form so the we can complete the steps from our side.

At any point if you get stuck or get confused, we are here to help! Just mail support or use the Contact Us

Payments

Here are the details for making payments for you web hosting accounts

  • Indian Rupees (INR) only accepted
  • Please transfer to ICICI Bank via NEFT
  • Add your reference number (from the email you received) with your payment details

Name: Arambankudyil Consultancy Private Limited

Account Number: 626405018655

IFSC: ICICI0006264 (ICICI Edapally Branch)

Do not forget to add your reference number

A basic supplier information sheet

I have been asked numerous times as to what comprises a basic supplier information. What are bare minimum pieces of information that has to be tracked for each supplier that a firm deals with? Here is a small list that I think will help get you started with managing your suppliers.

Description Additional Information
Supplier # Unique Number for each supplier
Name  
Name 2  
Name 3  
Name 4  
Address  
PO Box  
City  
District  
Postal Code  
Region  
Country  
Industry  
Created on  
Created by  
Last Update On  
Bank # Bank number of supplier
SWIFT / BIC Routing number
Bank #2  
SWIFT / BIC 2  
Account group  
Customer If Supplier is also a customer
Block Payment Block supplier
Tax Number 1  
Tax Number 2 Some Suppliers have multiple tax numbers
Telephone 1  
Telephone 2  
Fax Number  
Telex number  
Email1  
Email2  
Contact Person 1  
Contact Person 2  
URL  
Credit Information Identifier  
Transportation zone  
Currency Usual currency amount
Account with supplier This is your account # on the supplier’s system
Advance Payment If this supplier requires advance payment