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October 14, 2020

4 Key Benefits of Selective Distribution in Europe

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Selective distribution affords brands the ability to ensure that only qualified, invested resellers are able to sell their products in Europe. This, in turn, enables brands to mitigate online marketplace disruption of their established sales channels, and further provides the means by which brands can protect their determined online go-to-market strategy and stop freeriding by unauthorised sellers. Selective distribution also provides the following additional benefits for brands in Europe today:

INCENTIVIZING GREATER RESELLER INVESTMENT.

Your invested channel partners want to support and help to grow your brand. Their incentive to do so, however, is greatly diminished when your brand is plagued by numerous unauthorised sellers that freeride on their investments and efforts. By restricting sales to dedicated sellers, these sellers can be confident that their efforts to support and promote the brand will be rewarded – both online and offline.

PROTECTING BRAND IMAGE AND VALUE.

The ability to ensure long-term protection of brand image and value is at the core of selective distribution. Selective distribution provides brands with the means of ensuring that only high-quality, invested sellers are able to sell their products in all channels. This is of particular importance in the online marketplace channel where consumers often do not understand from whom they are actually purchasing product, and where freeriding unauthorised sellers abound.

PREVENTING QUALITY PROBLEMS AND NEGATIVE REVIEWS.

Without effective channel control and the ability to stop unauthorised sales, brands will be beset by negative product reviews stemming from a lower-quality sales experience. Selective distribution enables brands to maintain greater oversight over the sales experience.

INCREASED SALES ACROSS ALL CHANNELS.

In today’s market, control is a predicate to healthy growth. When dedicated, invested and high quality sellers promote your products across online and offline channels, sustainable growth can follow through the optimization of product development spend, marketing initiatives and trained sales representatives.

To learn more about selective distribution, download our selective distribution guide.