All of us have repeatedly heard in the field of trade and in other areas the term "dealer." What does this word mean? What is a dealer? This is not an employee. The dealer is a partner. He invests his financial resources in business, carries out activities in his own premises and, accordingly, receives much more than a simple employee. Both large and smaller companies are interested in this type of activity. What is the essence of the dealer?
The company or
private entrepreneur signs a special agreement with the supplier company, under which he buys a certain amount of goods and then independently finds customers for him. However, the activities of the dealer are not limited to this. Of course, he is a commercial intermediary, but at the same time he is engaged in trading on an ongoing basis. The most important thing for the dealer is not just to find a one-time customer for one batch of goods, but to establish an entire
sales channel. Thus, it creates a new consumer value product. His responsibilities include providing good facilities for demonstrating product samples, providing customers with expert advice and, finally, high-quality after-sales service. Now you understand that it is impossible to say unequivocally who the dealer is.
This concept goes far beyond the literal translation of a given word. We can say that a dealer is more than just a seller, he is a representative of a large company who promotes and sells goods in a favorable light in the market, which a large corporation cannot master (or does not have time) on its own. According to the dealer agreement, the parent company has the right to make different demands on its
sales representative. And perhaps the most common among them is compliance with a certain price level. Companies carefully monitor that there is no dumping. In other words, the partner partner of the
dealer agreement is obliged to sell the goods at the price established in the contract (or above it). The most important thing is that there is no excessive understatement. In the event that this happens, cooperation ceases. Once again, we should return to the question of who the dealer is. As you can see, this is also an honest partner, who, when making a profit, should think about the interests of the company that provided him with goods for trade. There are other requirements in the contract. So, for example, the parent company may require a strictly fixed size of the trading platform, a wide range, strict and transparent reporting. In addition, she has the right to oblige her representative to use corporate symbols.
How to become a dealer of a company? What does this promise ?
If you became interested in this kind of activity, and the phrase “I want to become a dealer” began to flash in your head , then this part of our material is especially for you. Engaging in such a business is not so difficult. You, as a legal entity, need to conclude a dealership agreement with the supplier company. All details and nuances of the transaction are negotiated and entered into the contract. Now about the benefits. Becoming a dealer, you can make a profit. Its size is directly proportional to sales growth. And they will grow as you face low levels of competition. Finally, well-reputed representatives have the opportunity to work on very favorable terms: with big discounts and various bonuses. We think that now we have given an exhaustive answer to the question of who the dealer is.