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Buying a computer in the post, petrol at a super-market, mortgages over the phone, and phones themselves from vending machines, are just some innovations in distribution which create competitive advantage, as customers are offered newer, faster, cheaper, safer and easier ways of buying products and services.

In recent years, many radical changes and developments have been taking place in the channel scenario in India. In total contrast with the western countries, where formats like super markets, hyper markets and other retail chains play a dominant role in the distribution channel.

Before this, it was only the wholesalers and retailers playing the massive role in India but now the stand-alone retailing and multi-level marketing plays an important role.

The Picture of Trade is Changing

The situation has changed considerably in recent years. With the improved and increased availability of products, increased competition and increased number of consumers, the environment in which the distributive trade is operating has been changed.

Today's distributors are focusing more in customer service; customer base, and they want to make good impression about their service than that of the product.

Profile of Distributors has also been Changing

Not only the picture of trade has undergone a change but the profile of the distributors has also been changing. Today's distributors are better educated and most of them are professionally qualified. So they are very refined and marketing savvy. Distributors keep expanding and diversifying, they are very ambitious, and they want faster growth.

Expectation of Profit Margins

In recent years, there has been more expectations for profit margins when compared with that of the previous years, where in the earlier days' distributors sought on modest profits, but now they are expecting fruitful profits.

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* Contributed by -
Rizwana M.,
Faculty - Marketing & HR,
M. S. Ramaiah Institute of Technology, Bangalore.