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How to Become a Successful LED Display Distributor and Reseller

by | Aug 12, 2020 | Uncategorized | 0 comments

Distributors and Resellers

Being a manufacturer or a supplier, you have to sell your products to your customers, in order to make that happen working with distributors and retailers both within your home country and abroad holds great importance. The margin of profit that an LED display distributor gets can range from 3% to around 30% of the sale price and that of a retailer can be from very little to 60%, all of this depends upon the type pf product the firm is offering and the one responsible for payment of the marketing activities. The distributor is the middle man between the manufacturer and the retailer or the business that is buying the product which can be because of certain reasons. The distributor can have a chain of distribution which can include a global distributor selling to specialized distributors, some markets have no retailers for example the ones operating in B2B distribution. The LED display market size is ever growing and there is a lot of potential in terms of profit for the distributors and resellers.

DOIT VISION LED Matrix 2.6mm
DOIT VISION LED Matrix 2.6mm

LED Display Distributor

A lot of the contractors cannot always guide their customers about the specifications of the products and cannot tell them a lot about the details which are required in order to solve customers’ queries. Since their main focus is the management of the business, however in order to be successful in this domain a few questions that you, as a distributor, can ask yourself which include your interest in selling LED displays, your interest in profiting from the increased cash flows and the growing trend and reason behind the expansion of LED market

An important thing is to have close contact with the LED display manufacturer in order to grow your knowledge about LED displays and to be able to satisfy the customers’ questions. With the passage of time your conversations with your LED display manufacturer about the product specifications and the spaces will develop and that will also expand your knowledge of the LED display and its related products. An ideal manufacturer would be the one offering an audit or a spreadsheet with the knowledge of the kWhs saved, the return on investment achieved and related insights. These sheets and materials also provide you with an image that you can present in front of the customer. The knowledge of certain things like the type of facility the customer requires whether it’s an on-site manufacturing, a warehouse one or an office space, the type of fixture or the lamp, if it requires high bays, tubes, wall packs etc. The wattage of the lamps that you have, the line voltage which is important for the LED installer since LED products are voltage specific, and most importantly what does the customer requires from you and the purpose behind it are some of the very important details you need to look into before getting into LED display distributor business. The more you talk about the product and its correct specifications, more the customer is going to trust you.

Some Dos and Don’ts

Usually the supply of the products from the manufacturer to the distributor takes some time and there’s obviously lead time which is unavoidable and in some cases it can get extended due to various reasons and to counter that the LED display distributor needs to have good inventory management and the key to that is to have a partner that has adequate inventory before you place an order and having an access to their inventory and keeping spare inventory can actually prove to be beneficial for the distributor in times of crisis and will also help in keeping the customers content and show to them that you’re reliable.

One should also avoid online retailers since the check and balance in terms of online retailing from the receiving end is close to minimum. The chances of you getting scammed are great, there is a lack of quality control, a lack of payment protection where your payment can get stuck and you might not receive the desired product well in time or at all. The fear of fake brands is again all time high and for such high priced electronic products an unknown retailer is not advised.

Authentic LED Display Manufacturers

In order to find the right LED display manufacturer, you’ll have to look into certain things such as a good manufacturer will attend the big LED lighting shows. It is also significant to meet the potential clients by an LED display distributor in order to check their authenticity. It is also important to check for certifications such as UL and DLC compliance, including the working conditions of the workers and if they are being met with the standard. A genuine manufacturer will also guide you through the management of the product and all the important details. Keeping the overall process low-cost and still being able to be competitive is an important trick to get hold of. The business process should be proficient and you will have to avoid any costly steps that are doubtful and lead to a loss.

As an LED display distributor when you partner with an experienced LED display manufacturer you have the surety that you’re purchasing the right product that fulfills your customers’ needs and provides them with warranties, the products you’ll be providing will have minimum amounts of defects which can be replaced in a timely manner when need be. They will also communicate with you the needs and their solutions that you’re going to come across the process of selling and feedback. You’ll also get to learn a lot about the products and will be able to make sales more effectively and be more ready to talk about the product details. You should also keep a hold of the catalog of your manufacturer which can come in handy and can also help you in identifying the products that are relevant and their specifications. Establishing a direct contact with your manufacturer is again very important and can ensure that you can get in touch with the right person whenever there’s a need.

About the Author

Kris Liang

Kris Liang

Founder/LED display expert

Kiris Liang is the founder of Doitvision. 12 + years in LED visual industry. Full passion of LED, product designer & chief salesman. Looking for teammate of technical/ marketing / sales.

Connecting people relative with LED displays.

Email: kris@doitvision.net