In the early stage of the development of the security industry, security agents and distributors successfully played the role of foreign products entering the Chinese market and manufacturers and contractors/integrators and end users, creating the glory of the Chinese security market. Nowadays, as the market matures, the sales model is changing quietly. From the past, a single “Foreign Manufacturer → General Agent in China → Region/Provincial Agency → Regional/City Agent Dealer → Engineer/Integrator “End-usersâ€, “domestic manufacturers → regional/provincial agents → regional/municipal agent dealers → contractors/integrators → end-users†are moving towards a diversified sales model.
Sales model shifts from flat to large distribution. From the sales model of domestic and foreign manufacturers, we are trying to reduce the sales cycle so that products can reach the contractors/integrators and end users faster. The rise of domestic and foreign manufacturers in sales links has led to the gradual weakening of the general agency system in China's security market, and the profit margins and discourse power of regional agents and distributors are getting smaller and smaller. Some industry insiders believe that regardless of the sales model, if there is no fundamental change in the company’s sales strategy, that is, if there is no basic abandonment of sales, their cost of sales (10%-15%) will not be effectively reduced because Selling by yourself also requires cost expenditure, but it is only the demolition of the Western Wall. However, it is undeniable that manufacturers set sales companies to control market sales, can effectively control the channels, the market in their own hands.
Manufacturers compressing sales channels and directly participating in sales, will promote the security products sales market tend to flatten development, and promote the formation of a large distribution market, which also led to the manufacturers attach great importance to the agency dealers as before, between each other The lower degree of trust will have a greater impact on the agency distribution industry, which will inevitably affect the sales of agency dealers, making the agency dealer's living space more narrow.
However, due to the problem of their own development positioning, manufacturers are pursuing the highest profits, flat or large-scale distribution are not good or bad. In this regard, most dealers also expressed their understanding. Some experts believe that: agents and manufacturers have a clear common goal, that is, more sales of products. As long as the goal is the same, all opinions and suggestions will be well resolved. Therefore, the most important cooperation between manufacturers and agents depends on the concept of the manufacturer and the strength of the agents.
In response to the change in the cooperation model between vendors and dealers, industry insiders pointed out that the cooperation between manufacturers and agents must follow the principle of mutual interest distribution. This requires full communication between the two. In response to changes in manufacturers, agents also need to make timely adjustments, which require long-term planning.
Services become the focus of market competition At present, the security market is more mature than in the past, but also entered the era of Boli, the overall price of security products dropped significantly, resulting in product sales profits have been greatly reduced, coupled with the impact of the economic crisis on the security market, security agent dealers The pressure for survival is even greater. How to withstand the pressure and seize the market, this has become a required course for each security agent dealer.
Quality, brand and service are the three magic weapons for dealers to explore the market. In the past, the competition of agents and distributors was mainly reflected in the quality and brand of the products. Everyone in the selection of agency brands was relatively pursuing a brand with higher reputation and higher product quality. Therefore, many international famous brands were successively introduced into the Chinese market. However, in an increasingly competitive market today, the market has been very transparent and very rational and cautious. Many dealers actively or passively improve their product and system service capabilities (including pre-sales, sales, after-sales consulting, and technical support. With services, etc.) "At present, services have become the company's core competitiveness, and it is also a basic foothold." The head of a company is diverted. To make a good combination of good service awareness and a sound service system, we can make the service become a kind of sales behavior and win the customer's approval.
Improving the company's own management capabilities For many dealers, service is a beautiful appearance, and corporate management is the heart that keeps life going. Professionals pointed out that the management of the company itself is particularly necessary in the economic crisis environment. At present, agency dealers are faced with difficulties such as low capital utilization rate, massive loss of talents and shortage of channel resources, and therefore require more investment in capital, talents, and channel management.
From the perspective of the rise and fall of the security agent distribution industry, many companies are gradually going down or even dying because of poor management. Loss of management, the ultimate need to face is the loss of customers. The improvement of enterprise management capabilities can enable companies to make better use of funds, effectively control cost expenditures, achieve stable development of enterprises under low profits, strengthen management of employees, and promote the improvement of sales and technical personnel quality; improve channel management. The foundation for the re-opening of market channels. At present, upgrading its own management capabilities is being valued by recognized companies and implemented.
After perfecting product types to improve service and management, agents and distributors also need to improve the types of products they sell. Under the circumstance that project vendors/integrators and end-users put forward "one-stop purchase" requirements, no single company can meet all the diversified needs, and no one company's products can fully guarantee the interests of the dealers. Therefore, regional agents generally go to agents selling multiple brands of multiple product types.
Usher in a market turnaround From the perspective of the current security industry, there is no one vendor or brand that can take the market and still need an agent to assist in the development of the market. Therefore, in the future, the agent distributor still exists as a key link in the value system. Experts pointed out that after users learn more about security systems and products, they will take the initiative to purchase more brands of products. When they use security products, they also need more technical guidance. Therefore, agents It still plays an important role in the entire industry. As an agent, everyone will be more and more perfect, providing customers with more detailed product consultation, more complete product types, and more professional technical services.
In the future, channel flattening will eliminate some of the less competitive agent dealers, but there will also be some agency dealers occupy a more powerful position. The development of the electronics industry shows that the strong channels can even make more than the manufacturer's business, such as: Gome, Suning such a strong store, Digital China such a strong distributor. Therefore, some experts believe that: With the increase in market capacity, the security industry will inevitably appear similar strong distributors. In the foreseeable future, no matter how the market changes, each sales link will not disappear. Agency dealers can use it to solve the problem of shortage of sales staff, in-depth development of local social resources, and assist manufacturers in “concreting†large projects and other traditions. Advantages, and through full communication with manufacturers, in the region to implement a flexible and personalized sales strategy, with the manufacturers to tide over the difficulties, with the market turning.
Sales model shifts from flat to large distribution. From the sales model of domestic and foreign manufacturers, we are trying to reduce the sales cycle so that products can reach the contractors/integrators and end users faster. The rise of domestic and foreign manufacturers in sales links has led to the gradual weakening of the general agency system in China's security market, and the profit margins and discourse power of regional agents and distributors are getting smaller and smaller. Some industry insiders believe that regardless of the sales model, if there is no fundamental change in the company’s sales strategy, that is, if there is no basic abandonment of sales, their cost of sales (10%-15%) will not be effectively reduced because Selling by yourself also requires cost expenditure, but it is only the demolition of the Western Wall. However, it is undeniable that manufacturers set sales companies to control market sales, can effectively control the channels, the market in their own hands.
Manufacturers compressing sales channels and directly participating in sales, will promote the security products sales market tend to flatten development, and promote the formation of a large distribution market, which also led to the manufacturers attach great importance to the agency dealers as before, between each other The lower degree of trust will have a greater impact on the agency distribution industry, which will inevitably affect the sales of agency dealers, making the agency dealer's living space more narrow.
However, due to the problem of their own development positioning, manufacturers are pursuing the highest profits, flat or large-scale distribution are not good or bad. In this regard, most dealers also expressed their understanding. Some experts believe that: agents and manufacturers have a clear common goal, that is, more sales of products. As long as the goal is the same, all opinions and suggestions will be well resolved. Therefore, the most important cooperation between manufacturers and agents depends on the concept of the manufacturer and the strength of the agents.
In response to the change in the cooperation model between vendors and dealers, industry insiders pointed out that the cooperation between manufacturers and agents must follow the principle of mutual interest distribution. This requires full communication between the two. In response to changes in manufacturers, agents also need to make timely adjustments, which require long-term planning.
Services become the focus of market competition At present, the security market is more mature than in the past, but also entered the era of Boli, the overall price of security products dropped significantly, resulting in product sales profits have been greatly reduced, coupled with the impact of the economic crisis on the security market, security agent dealers The pressure for survival is even greater. How to withstand the pressure and seize the market, this has become a required course for each security agent dealer.
Quality, brand and service are the three magic weapons for dealers to explore the market. In the past, the competition of agents and distributors was mainly reflected in the quality and brand of the products. Everyone in the selection of agency brands was relatively pursuing a brand with higher reputation and higher product quality. Therefore, many international famous brands were successively introduced into the Chinese market. However, in an increasingly competitive market today, the market has been very transparent and very rational and cautious. Many dealers actively or passively improve their product and system service capabilities (including pre-sales, sales, after-sales consulting, and technical support. With services, etc.) "At present, services have become the company's core competitiveness, and it is also a basic foothold." The head of a company is diverted. To make a good combination of good service awareness and a sound service system, we can make the service become a kind of sales behavior and win the customer's approval.
Improving the company's own management capabilities For many dealers, service is a beautiful appearance, and corporate management is the heart that keeps life going. Professionals pointed out that the management of the company itself is particularly necessary in the economic crisis environment. At present, agency dealers are faced with difficulties such as low capital utilization rate, massive loss of talents and shortage of channel resources, and therefore require more investment in capital, talents, and channel management.
From the perspective of the rise and fall of the security agent distribution industry, many companies are gradually going down or even dying because of poor management. Loss of management, the ultimate need to face is the loss of customers. The improvement of enterprise management capabilities can enable companies to make better use of funds, effectively control cost expenditures, achieve stable development of enterprises under low profits, strengthen management of employees, and promote the improvement of sales and technical personnel quality; improve channel management. The foundation for the re-opening of market channels. At present, upgrading its own management capabilities is being valued by recognized companies and implemented.
After perfecting product types to improve service and management, agents and distributors also need to improve the types of products they sell. Under the circumstance that project vendors/integrators and end-users put forward "one-stop purchase" requirements, no single company can meet all the diversified needs, and no one company's products can fully guarantee the interests of the dealers. Therefore, regional agents generally go to agents selling multiple brands of multiple product types.
Usher in a market turnaround From the perspective of the current security industry, there is no one vendor or brand that can take the market and still need an agent to assist in the development of the market. Therefore, in the future, the agent distributor still exists as a key link in the value system. Experts pointed out that after users learn more about security systems and products, they will take the initiative to purchase more brands of products. When they use security products, they also need more technical guidance. Therefore, agents It still plays an important role in the entire industry. As an agent, everyone will be more and more perfect, providing customers with more detailed product consultation, more complete product types, and more professional technical services.
In the future, channel flattening will eliminate some of the less competitive agent dealers, but there will also be some agency dealers occupy a more powerful position. The development of the electronics industry shows that the strong channels can even make more than the manufacturer's business, such as: Gome, Suning such a strong store, Digital China such a strong distributor. Therefore, some experts believe that: With the increase in market capacity, the security industry will inevitably appear similar strong distributors. In the foreseeable future, no matter how the market changes, each sales link will not disappear. Agency dealers can use it to solve the problem of shortage of sales staff, in-depth development of local social resources, and assist manufacturers in “concreting†large projects and other traditions. Advantages, and through full communication with manufacturers, in the region to implement a flexible and personalized sales strategy, with the manufacturers to tide over the difficulties, with the market turning.