Who doesn’t want to spend money wisely? When it comes to using co-op or market development funds (MDF), effective fund management at the local level is the key to success.
Sep 17, 2014
Jun 18, 2013
Distributors can be a valuable asset to a corporation, if the organization uses them correctly. Let’s take a look at some of the challenges of driving sales through distributors and what the manufacturer/vendor can do to overcome those barriers.
One of the primary roadblocks to improved distributor sales is motivation. This can be especially true with smaller distributors. Often times they are comfortable with their current sales levels and are not interested in really growing their business. The manufacturer also bears some responsibility for making the information needed to sell effectively accessible and convenient. For example, not having a single point of contact is a hassle that will cause many distributors to disengage.
According to iMedia Connection, it is estimated that manufacturers invest $50 to $520 billion dollars in co-op marketing programs annually. In comparison to the estimated total U.S. advertising spend this year of $153 billion, reports iMedia, that translates to a lot of money available for co-op programs, but much of this funding is “left on the table.” According to the article:
Tags: co-op marketing, manufacturing marketing, marketing process optimization, insurance, Distributed Sales Model, MRM, marketing technology, marketing resource management, financial services marketing