How do manufacturers and retailers fight from battle to war

There is a relationship between producers and retailers, and there is also a phenomenon of fighting each other: retailers will represent the products of multiple manufacturers, and manufacturers will also put products in multiple retailers to expand their sales. channel.

As the marketing concept shifts to consumer demand-oriented, the retailers who control the terminal channels have a greater initiative in the game with the producers, and the relationship between the two parties has also changed from the retailer's dependence on the producer to the retailer. I hope to participate more in the marketing activities of manufacturers. This makes the two sides more sensitive and cautious in the negotiations, and there is no way to effectively resolve the contradiction.

The contradiction between the two sides lies in the conflict of interests: as consumers' demand for products increases, and the requirements for product functions and added value increase, producers often have to cause retailers to speed up product upgrades. The backlog of products has to rely on the promotion of price reduction to deal with the hoarding products, which has harmed the interests of the producers. As a retailer and a manufacturer of retailers, after controlling the consumer market, they hope to use their vast resources to obtain greater profits from producers. The fierce competition in the industry and the rising operating costs have made retailers put the problem-solving direction on the producers in the face of these problems - using their own direct contact and affecting the advantages of consumers, and lowering the price of the producer's products to obtain more Big profit margin.

How can we reduce the loss of combat between the two sides to a smaller one, and later achieve a common development of the battle alliance?

1. Establish an effective communication mechanism:

In consumer-oriented marketing, the key to ensuring the development of the company is to transform transaction marketing into relationship marketing, so that enterprises and consumers maintain a long-term cooperative relationship. For manufacturers, it is especially important to obtain feedback from consumers on products, and to create products that are more in line with consumer habits and values ​​based on information. Establishing channels for communication with consumers through retail media is to ensure production. One of the necessary means of long-term business interests.

Retailers can obtain detailed product information from producers through effective communication and improve their service system.

2. Strengthen cooperation in marketing activities In marketing activities, producers and retailers are participants in marketing activities and are also beneficiaries. Manufacturers are using the promotion of products to stimulate consumers' desire to buy, prompting consumers to enter the retailer's storefront. Through the promotion of self-branding, retailers concentrate consumers and also benefit producers. Therefore, strengthening the cooperation between manufacturers and retailers in marketing activities can achieve complementary advantages, reduce costs, and achieve win-win results.

3. Finding new cooperation space The fundamental contradiction between producers and retailers is the price of the product. For both parties, there is more space for activities besides the price reduction. Whether it is a producer or a retailer, the ultimate benefit comes from the market, and expanding the desire to buy in the market can gain greater benefits. For both parties with their own brands, the influence of the integration of the two brands can be used to obtain high-quality advertising space at low prices in marketing activities, and at the same time use the influence of the other brands to improve the audience of their own brands. The consolidation of interests is greater.