Sales and Distribution Plan
Remember, the primary target the marketing plan is to get people to buy your products or services. The Sales and Distribution part of the marketing plan details what is going to do.
Traditionally there are three parts to the Sales and Distribution section of the marketing plan, although all three parts may not apply to your business, or you maynot use them all.
1) Outline the distribution methods to be used.
How is your product or service going to get to it's customer? For instance, will you distribute your product or service through a Web site, through the mail, through sales representatives, or through retail?
What distribution channel is going to be used?
In a direct distribution channel, the product or service goes directly from the manufacturer to the customer. In a one stage distribution channel it goes from manufacturer to retailer to customer. The traditional distribution channel is from manufacturer to wholesaler to retailer to customer. Outline all the different companies, people and/or technologies that will be involved in the process of getting your product or service to your customer.
What are the costs associated with distribution?
What are the delivery terms?
How will the distribution methods affect production time frames or delivery? (How long will it take to get your product or service to your customer, or how will be your delivery time?)
If your business involves selling a product, you should also include information about inventory levels and packaging in this part of your marketing plan. For instance:
How are your products to be packaged for shipping and for display?
Does the packaging meet all regulatory requirements (such as labelling)?
Is the packaging appropriately coded, priced, and compatible with the product?
What minimum inventory quantity levels must be maintained to ensure that there is no loss of sales due to problems such as late shipments and back orders?
2) Outline the transaction process between your business and your customers.
What system will be followed to processing orders, shipping, and billing?
What methods of payment will customers be able to use? cash, check, or other and it must be trusted.
What credit terms will customers be offered? If you will offer discounts for early payment or impose penalties for late payment, they should be mentioned in this part of your marketing plan.
What is your return policy??
What warranties will the customer be offered? Describe these or any other service or products.
What after-sale service support will you offer to customers and what will you charge (if anything) for this support?
Is there a system for customer feedback so customer satisfaction, can be tracked and addressed?
3) If it's applicable to your business, outline your sales strategy.
What types of salespeople will be involved , you must choose them carefully.
Describe your expectations of these salespeople and how sales effectiveness will be measured.
Will a sales training program be offered? If so, describe it in this section of the marketing plan.
Describe the incentives salespeople will be offered to encourage their achievements.
Lastly, when you're making marketing plan, you need to develop an Advertising and Promotion plan.
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