How Distributors Make Retailers More Money
In our annual distributor roundtable, appearing in Dealerscope’s April issue, we ask some of the industry’s leading distributors to name the single most important thing they're doing this year to help dealers make more money than they did last year. Here’s what they had to say. Stay tuned to Dealerscope.com for more distributor insights and revelations.
Jeff Davis, D&H: The most important thing we’re doing to keep dealers profitable this year is to continue to deliver new, cutting-edge products. These would include 4K-resolution and Ultra HD TVs. To help dealers diversify, we’re branching into new categories such as sports and recreational goods, specialty housewares, and higher-end home automation products. Also, we offer products to retailers that adhere to UMAP policies, to preserve margins.
Gerald Satoren, DSI: The single biggest thing we are doing with our dealers is to make sure they are fully engaged in the large-panel, 60-inch-and-above, TV business. DSI probably serves more brick-and-mortar independent retailers than anyone in the country. We stress to them that the purchase of this size TV is right in their sweet spot.It is typically the main TV in the home, an involved and carefully considered multi-person purchase decision, usually has to be delivered and installed due to the size, and is more likely to carry the profitable add-ons like sound and furniture. We focused here last year and our results clearly are a reflection of how our dealers embraced this opportunity.We want our dealers to continue down this path in 2013, with the additional benefits of the emergence of Ultra HD as well as OLED later this year.