According to marketing experts, Fast Moving Consumer Goods (FMCG) is the most disloyal industry among customers. Take in to the consideration, advertising bombardments around us are the proof of this claim. Inspiring Ads encourage consumers to buy products but people get bored and tired of the tons of ads that they come across everyday and that are what made them pass Ads indifferently. As a result, using the best and the most professional advertising plays vital role for any businesses.
Distribution channel is a very important factor in FMCG industry; it’s not only create fair and clear product availability for consumers, but also can create financial balance and improves production and consumption segments.
Distribution network consists of wholesalers, retailers, exclusive representatives, organizational buyers auctions in retailers. Distribution channel roles are as follows:
1. Communicating with buyers and providing sale information (Price, product characteristics, product usage and …)
2. Preparing packaging, carrying product, and taking order from customers
3. Carrying and delivering product from producer to inventory and finally to consumer
4. Maintaining reliability of preparing sources in a reasonable time
5. Provide a basket of required goods from different FMCG manufacturers by wholesalers to satisfy customers
6. Providing supporting services for sale by displaying products in windows, training vendors, and etc.
Nowadays, producers are looking for better coordinating of production and distribution to consumers because of an increasing flow in product variety and a decreasing flow in FMCG product cycle time.
Factors which affecting FMCG distribution channel efficiency include market size, product perishability, distribution regularity, TV commercial, low cost transportation, brand reputation, market presence of brand, discount for distributor, high profit margin for retailer or wholesaler and etc.
For any new FMCG brand entrance to Iran there are some key challenging factors, customer relation system, existence of smart and aware customers, being far from market, being more responsive for customers, achieving brand promise and also organizational culture. Actually, Iran market could be one of the most effective potential markets for FMCG brands especially for newcomers in Middle East and Asia. After lifting sanctions, Iran’s trading potential increased gradually, which eventually made the presence of global brands to grow rapidly in different possible industries in Iran. Among all industries, FMCG industry needs to reveal Iran surreptitious points in various levels of society. As a matter of fact, a new entrance brand needs to have organizational perception of consumer behavior, mixing with public life, recognizing public life style, understanding consuming process except product ability; reaching to these information and data for non-local brands, could be very hard and waste lots of time. That’s because of remoteness from target market, ineffective and inefficient communications, lack of information of ongoing changes in target market, awareness of target market distribution system, and etc.
Therefore, what non-local brands required are to use experiences of local agencies and also more important to use local consultation who can holistically promote their business in a specific region. Among Iranian agencies, Maat advertising agency as a paramount agency in Iran can be helpful to solve these problems. Maat MARCOM agency with years of experiences in Iran’s market and a deep knowledge about Iran market distribution system, Iran regulation and rules of advertising and marketing, can make a special penetration in Iran market for any newcomers in Iran. Maat full service communicating and marketing agency achieves distribution channel policies by studying different distribution channels like chain stores, wholesalers, retailers, and … . Maat full service advertising agency acquire distribution channels policies in various steps which include classifying distribution channels and controlling them, recognizing intermediaries of distribution channel, studying exclusive distribution or specific representative in certain regions, studying intermediaries conditions and agreements and finally base on all these studies will be able to fulfill any distribution channel aims perfectly.
