International Marketing Channels
International marketing channels, which are also called sales channels or distribution channels, are among the most critical factors for success in exports to the international markets. The efficiency and effectiveness of the international marketing channels are closely related to both sales and profits of the company.
Many organizations in the world face difficulties in setting up and managing international marketing channels. While other marketing mix components (product, price and marketing communications) can be adapted and changed comparatively quickly, changing international marketing channels is a time-consuming and expensive activity. Marketing channels which are not optimally managed constitute a market barrier, and are a significant management liability for the company, while channels which are managed professionally constitute a sustainable competitive advantage, a significant growth engine and an asset for the company. Therefore, decisions related to the creation and daily management of marketing channels, especially in competitive markets, are among the most important decisions for an organization dealing with international activity.
Many companies operating (or attempting to operate) in international markets often run into problems related to international marketing channels, such as:
> Inability to 'find' and recruit quality distributors abroad.
> Difficulties in motivating distributors to act proactively.
> Low sales, slow growth or even drop in sales.
> Lack of trust and recurring channel conflicts.
> Missing market opportunities such as important projects or tenders.
> Excessive expenses related to the international channels.
> Pricing dilemmas and low profitability.
Proxy provides professional, methodical consultancy services, which assist the organization in setting up and managing international marketing channels in a professional and improved manner. These services are related to the following issues:
Research & Analysis: locating information sources, mapping marketing channels, identification of potential intermediaries and decision makers, competitors' channels analysis, channels SWOT analysis.
Strategy & Planning: setting channel objectives, formulating channel strategy, creating fit to marketing and business strategies, channel structure design, marketing mix adaptation, channel pricing.
Set-Up & Change: channel set-up tactics, distribution offer formulation, locating distributors and agents, agreement negotiations, mergers & structural changes.
Motivating & On-going management: channel kick-off, building trust and cooperation with intermediaries, planning and implementation of motivational & leadership activities in the channel, structuring co-operational marketing plans.
Solving Problems & Conflicts: identification of potential needs, problems & conflicts, root cause analysis, conflict resolution planning & implementation.
Evaluation & Measurement: performance measurement and sales analysis, overall channel audit and evaluation, planning and implementation of reporting, monitoring & control activities.
Organizing: planning and implementing sales organization structure and interfaces, recruiting, training, motivating and compensating of international channel mangers, setting channel related budgets, quotas & forecasting.
It should be stressed that Proxy is not a trading company or a sales agency, and does not deal in any type of mediating activity, but rather deals with the provision of consultancy, guidance and training services, intended to improve the client's marketing and sales management processes and capabilities.
The results of the offered services will be expressed in the enhancement of the organization's performance (solving the problem, or seizing the opportunity), as well as in improving the organization's marketing capabilities in its future activities. More about our services, their benefits and the methods being applied press here…
Professional resources in the field of international marketing channels can be found here...
Information about Proxy's other services:
Consultancy in other fields of international marketing management.
Training and instruction in international marketing.