No image
  • admin

Trade and Dealer Loyalty goes beyond rewards

Trade Partners and Dealers are part of the critical business path of several companies that use traditional distribution channel for sales

Keeping trade and retail partners engaged is essential for the brand to keep itself top of mind with its distribution partners

The key elements that build trade loyalty towards your brand are

  1. Good Product that has consumer demand
  2. Product Training and Knowledge about the product that makes the retailers engagement with the consumer easier
  3. Good Quality Customer Service and response to retailers and dealers’queries
  4. Quality of the Sales Team and the interaction that they have with the distribution partners
  5. Relationships with and engagement with senior management of the brand
  6. Financial Incentives for performance
  7. Recognition and feeling of being a part of the brand

As a trade marketing head, you can create an assessment matrix and do an assessment of your trade relationships. You can build a strategic trade engagement plan that covers the key elements highlighted above

Regularly assess your trade relationships using the following methods

  1. Face to face skip level engagement by senior management with trade and channel partners
  2. Third party surveys of dealers and retailers to get unbiased feedback in a structured way
  3. Analysis of historical data combined with insights from the front-line sales force
  4. Market share within each dealer and the growth or decline

Summary

While thinking about structuring your trade and distributor engagement and loyalty programs consider the above. Loyalty goes beyond financial incentives and rewards. And it’s your brands relationship score with the individual dealer that matters. And this score is a result of the various elements mentioned in this article. Regularly assess your relationships and work on targeted programs to improve your relationship score with your trade and channel partners

The author, Ajay Miglani, is a director and mentor at Radii Rewards (www.radiirewards.com), an established trade and channel loyalty and engagement program management company based in Mumbai, India