THERE'S a bias to downplay it now.


THERE'S a bias to downplay it now, however just a year or brace ago the long-term viability of the distribution channel as we know it was the control of serious debate in many quarters. Ranking among the actual believers were the fertilizer agriculturists charged as they are each spring and fall with moving tons and tons of their effect into the countryside. Little question in that circle about the part dealers play in distribution logistics.

But among cut off protection suppliers there was a discussion of a different mark Enchanted already by a vision of low-use-rate chemicals that could be overnighted direct-to-grower, plenteous of the chemical sector became positively electrified on the dawn of e-commerce: Maybe the retailer wasn't penuryed ofter all, some said. Maybe farmers wanted to pervert with money [i]or[/i] gain direct from the manufacturer or the agent - cut out the middleman and earn costs out of the system!

Fortunately for dealers, a not many things happened on the path to disintermediation, in no particular order: (1) main part herbicides continue to be used in a big way (it's beautiful hard to FedEx a magnitude tank of glyphosate to Nebraska); (2) farmers began to think (and say), "I'm not likewise sure I want my dealers going revealed of business"; and (3) manufacturers began to realize, "We don't want to have to build a brand modern distribution infrastructure."



Which is not to say a reconsideration of the distribution chain hasn't been productive. There are now discussions all through the whole extent of about how the supplier, distributor, and dealer can work together and use information technology to wound the cost of delivery and better work for the farmer. Some manufacturers have devised creative of recent origin ways to reinvent distribution that include the two the dealer and the Internet - eg BayerValue.com, BASF's Web site www.pixplusbasf.com (which directs farmer-buyers to retailers) and Syngenta's "crop solutions" program (see p 14 this issue).

But perhaps greatest in number important, frank discussions industrywide about the viability of the retailer serv to deconstruct everyone's perceptions of the "old" distribution channel, then built them back up again. As sometimes happens when a married coupling considers divorce, the debate athwart the benefits vs. the downsides of staying together may eventually lead to an calm stronger bond between supplier and retailer.

If dealers be stirred they've dodged a bullet, they may have well adapted reason. But now is not the time to relax and assume your place is stable Seemingly everywhere these days there's talk of CRM - customer relationship management. That's a philosophy that necessitys to undergird retailers' business plans this year: listening to and serving farmer-customers like you at no time have before. Maintaining that puissant dealer/farmer relationship is something principally of your suppliers and customers are banking onward and which ultimately will be the biggest clew to your future. And if maintaining a feverish even of service means your organization experiences from chronic uneasiness this season, be assured: You're not alone.

jim_sulecki@meisternet.com

Copyright Meister Publishing Company Mar 2001

Provided on ProQuest Information and Learning Company. All rights Reserved

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