Technological Advancements Enhancing Wholesale Distribution
In the current era of market changes and increased competitiveness, it is important for wholesale distributors to evolve and adapt to the technological disruptions, to avoid getting left behind. It is no longer just enough for distributors to understand customers’ specific needs, they also need to have the flexibility to adjust their business practices to meet those needs, find ways to differentiate their business in order to build customer loyalty and to continue growing. Digital transformation will help wholesale distributors meet these challenges, help jump-start growth and put them on the path to deeper, more service-oriented relationships with their customers. For instance, embracing value-added services like light manufacturing, kitting, assembly, tool crib management, rental, or aftermarket services will help serve customers more effectively. Another method is streamlining the inventory management process to reduce costs associated with transactions. A process known as advanced inventory management (AIM) that uses data-driven technology to provide more comprehensive inventory management and drives fill rates, turns, and better profits, with less work.
Adopting full warehouse automation, a method still emerging, will help wholesale distributors not only reduce costs and improve efficiency, but also make the warehouses free from human errors. The drive from multi-channel to omnichannel commerce is also starting to gain more traction, giving users a cohesive experience across channels, and driving their business operations.
Hence, distributors that innovate and embrace these new methods and technologies will see the greatest business success and have a competitive edge over others in the market.