Amazon Logistics: an ecommerce growth and expansion solution for manufacturers

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Context

How can I take advantage of the undeniable opportunity offered by the current moment through ecommerce without jeopardizing the distribution channel?

A growth and expansion ecommerce solution for national manufacturers.

On the one hand:

(1) The traditional distribution channel. This is the main source of income and business sense for the vast majority of manufacturers, if not for all. Mayors, shopping plants, department stores, international corporations, distributors, shops… It is a mature, known channel that supports the current billing and growth and that, with its advantages, its disadvantages, its capabilities and its limitations is an undeniable value for any manufacturer. Why put at risk part or all of the distribution channel?

On the other hand:

(2) EcommerceThis constant sound of permanent growth and business opportunities. And, above all, it is natural ground for new users and consumers who gradually leave traditional sales points. In an initial state, without crystallizing and relatively simple yet, like the wild west with the arrival of the first settlers who are full of possibilities and knowing that as a day from now they prefer to take advantage of a large number of consumers (how to buy a large number of others online).

In the attempt to reconcile these two elements we have one of the main problems that any manufacturer has to face today:

How can I take advantage of the undeniable opportunity offered by the current moment through ecommerce without jeopardizing the distribution channel? It is a delicate subject and at high risk both to one side and to the other. But to whom one cannot ignore or try to avoid it. It must be faced.

A methodology for approaching this problem is to deny that there is a dichotomy between these two business approaches. There is no need to simplify the problem so much and to put the traditional distribution channel on the balance on the one hand and the ecommerce on the other. There are ways and approaches in which both business options can and must coexist.

This coexistence is particularly evident in the geographical and ‘political’ limitations of the distribution channel that does not have the ecommerce. On the one hand we have countries or geographical areas in which the traditional distribution channel is not developed. On the other hand we have products that, for one reason or another, cannot or should not be managed through the distribution channel.

In these two fields, we find the right ground for developing a direct-to-end-customer ecommerce activity by the manufacturer, without adversely affecting the distribution channel and the current and future agreements and developments on the channel.

So it seems that there is a possible solution to the approximation and coexistence of these two approaches to business development for manufacturers. Now it is up to you to analyze the next step, how to manage as a manufacturer the direct sale to individuals, logistics, customer service, returns, marketing, advertising…? And this is where, in addition to a necessary external marketing company and online strategies, it comes in full Amazon’s hand of [Amazon Logistics] service (/ articles / logistics /) to solve this new problem that must be addressed.

Through Amazon is allowed offer products directly to real and active online consumers in a specific geographical area. It is not necessary to land in a country with specific, legal or logistical commercial structures, not even have a specific website for that country. Amazon already has the platform, traffic, payment management and most importantly; customers. Millions and millions of customers.

Through [Amazon Logistics] (/ articles / logistics /) The product can be sent to their warehouses and they are responsible for carrying out the shipment when a sale is made, locate the customer, deliver the delivery, manage the return in your case and serve the customer. They are responsible for the whole process, allowing manufacturers and producers to avoid tasks and actions that are not natural to them or on which they have qualified staff or experience.

**Amazon + Amazon Logistics therefore allows any manufacturer to explore new sales opportunities at minimum costs (irrisory with the costs of entry through the traditional distribution channel)**either in geographical areas where it does not reach the current distribution channel, either within its current geographical scope but with new products, prototypes or products that do not fit properly in the distribution channel. This solution not only avoids the apparent dichotomy between the distribution channel and online sale, but also unifies them. This first incursion in Amazon is the advance or experience necessary to be able to decide which countries or products are most suitable for opening traditional distribution channel and which products are most suitable for direct sale to the end user from the manufacturer.

There are other options to solve the same problem, is Alibabá, eBay, actions on own direct-sale shops, dropshipping… all of them valid and all of them to be explored. But what is certain is the need to enter into one of them (or all of them). Not only because they are fast and economic with a huge potential, but because they are the future yes or yes, in one way or another. You may not want to see it, you may be against it for reasonable arguments, but reality is the reality and the desires and customs of consumers is something that you can not control the great or manage the energy that you can get to get to get the right power to get to get the energy before you get the great power to get to get the power to get you.

Article: Sell in Amazon.

Article: Amazon Logistics.