Channel Development

Having defined which geographic markets, and which sectors within those markets, offer the most attractive opportunity for expanding the firm’s sales, the next step is to determine the best route to market. Key to determining the optimum Route to Market is a thorough understanding of the existing channel structure; how the market works.

Typically, the choice facing the firm is either a direct, or an indirect approach. A direct approach usually involves opening a local office; and an indirect approach involves either employing local representatives or agents, or developing relationships with local distributors who may, or may not carry competitive lines.

It is critical that time is spent in the local market to understand with Route to Market offer the best long term opportunity for sustainable competitive advantage. Many Market Entry Strategies have failed to deliver their forecasted sales because not enough time and effort had been spent understanding the fundamentals of a particular market’s structure.

Having selected the optimum Route to Market channel partners need to be identified, audited and developed. Working is close cooperation, locally, with selected regional channel partners requires day to day hands-on management to ensure sales targets are met and exceeded.

Hanford has helped develop multiple Market Entry Strategies, defining the optimum Routes to Market for clients across Europe, USA and the Middle East using local knowledge to identify, develop and manage regional channel partners.

Contact us now to see how Hanford Consulting can help you create new business opportunities overseas.