The Factors That Should Influence Your Product Distribution Strategy

DSD blog

Your product distribution strategy could make the difference between mediocre sales and exceptional sales. There are a number of factors that go into the strategy you’ll use for your store because each location presents different opportunities and challenges.

The first thing you need to do is to understand the demographics of the people in the locations surrounding your store. Being located in a more affluent neighborhood might give you the opportunity to sell higher-end products than you’d be able to offer in lower-income neighborhoods.

If you’re located near a high school where the neighborhood kids walk by your store on their way to classes and/or extra-curricular activities, your product placement should probably be more heavily weighted toward items that appeal to younger crowds, such as snack foods and bottled or canned beverages.

Convenience stores located near a gym might want to skew their product distribution more toward energy drinks and supplements like energy bars. Those located near a business district might want to target the employees working there who may be interested in grab-and-go breakfast or quick lunch items.

The point is, by understanding the demographics of the potential traffic surrounding your store, the better you’ll be able to identify your target group or groups and better accommodate their needs.

For even greater success, as we’ve mentioned in a previous blog, product placement within the store is also vitally important. You’ll want new items that typically come with promotional materials from the manufacturer to be right up front to grab peoples’ attention as soon as they walk through your doors. Put impulse-buy items near the cash register to increase point-of-purchase sales. And place your tried-and-true items that people come in for regularly in the back of the store, so customers will need to walk by all your inventory first to reach it. This will also help to increase impulse buys.

Once you understand your area demographics and identify your target audience(s), Atlantic Dominion Distributors is ready to get your stocked up. With our next-day delivery service, you won’t need to keep a lot of inventory in stock, and with our wide range of products from top-name manufacturers, we’ll be able to supply you with what your customers want.