Tuesday, March 12, 2019

Order Fulfillment: Costs of using Distributors


Distributors require an existing customer demand for your product. The distributor will charge various fees, either directly or as a percentage of sales cost, for the services they provide such as warehousing and shipping. Sales support is typically not included in the percentage fees taken by distributors, so a brand must provide its own sales staff or pay the distributor for this additional service. Distributors in different industries will work differently and have different requirements and costs, so the best way to learn more is to try to contact the distributors used in your industry.

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