Politics and Business

Tips for Running a Successful Distribution Business

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A distribution business is an important part of the retail supply chain. As the intermediary between the retail outlets and the manufacturer, you are playing a direct role in the sale and success of the product. 

Running a successful distribution business can be a challenge, especially as the demand for products across all industries increases. It is therefore important to fine-tune the internal aspects of your business so that you can have a positive impact on the companies that you partner with. 

Here are some top tips to help you run a successful distribution business. 


The quality of the products that you are distributing is key to a successful business. When retailers are trying to decide which distributor they want to partner with, the quality is going to take priority. This is because the quality is going to reflect on their business and their ideal customers buying decisions. Make sure you always partner with reputable and high-quality manufacturers, such as your shrink wrap wholesale supplier. You also need to ensure that your inventory is well managed and well maintained. Your business needs to create a product that end users are going to want, to attract the right retail businesses and grow your revenue.

Network of retailers

Your business will not be able to move forward without a steady network of retailers. This is because your revenue and success are directly impacted by the number of retailers that you serve, and how successful their business is. The more active the retailers are, the higher the demand. You should aim to have a broad network of retailers that you partner with, to strengthen your bottom line and ensure you have a steady flow of revenue. If you rely too much on one retailer, you are putting your business at risk if something were to happen to them, as it is out of your control. A strong network will help build your credibility and reputation. You may wish to hire sales reps who can handle all the appointments and conversations that your business needs to be having to bring in new customers. 

Outsource Premium Services

Distribution businesses are complex and layered, and they rely on an extensive network of retailers and suppliers to remain successful and relevant in the long term. And, when it comes down to honing your competitive edge, it is crucial to understand that no distribution company is a one-person show! 

Because of this, you should work with a world-class pallet manufacturer, a premium shipping partner, and safety experts. Outsourcing these specialized services can help you keep your business relevant in the long term while optimizing the use of resources!

Stay close to customers

As a distributor, shipping costs can become extremely high, especially if you are operating out of one warehouse and shipping across the country, or even the globe. Instead, you should be more strategic about your shipping. One option is to focus on customers that are more local to you so that shipping costs can be reduced, and you can build better and stronger relationships with them. In some cases, it might be more cost-effective to build new warehouse facilities throughout the country, close to where your customers are located. This will depend on your goals, and what option will best serve your business structure.

Build long term relationships 

Your distribution business is only going to be as strong and successful as your relationships. Make sure you prioritize quality, transparency and excellent customer service. See where you can go above and beyond in your business, such as increasing the speed of your order fulfillment process and adding value to each conversation that you have. 

A distribution business plays an important role in the supply chain. Follow these tips to ensure your distribution company is successful.


Marc Wilson is the Guest Lifestyle Editor of Social Life Magazine, a 2013 Big Apple Award nominee and the Founder and Creative Director of MWD Lifestyles (formerly Marc Wilson Design) and Weddings by MWD Lifestyles. Marc’s company is a full scale wedding, event design, production and planning company with destination partnerships and capabilities and has grown to be the name in the decor and events, weddings and destination industry it is today. Marc’s fifteen years within the events industry has resulted in national and international recognition and, to date, MWD Lifestyles has worked with Rolex, Hugo Boss, Martha Stewart Weddings and MGM Metro Goldwyn Mayer. Marc’s work has been published in Grace Ormond Wedding Style, Design Bureau, New York Weddings, Manhattan, Essence, Weddings by Design, The Knot, Brides and Town&Country. Instagram@mwdlifestyles

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