To continue the thought: and maybe best to start a new thread?
Originally Posted by Dave Wooten
Distributors are "usually" suppliers to retail outlets who provide the product to the end user, they purchase directly from the manufacturer and distribute to retail outlets-keeping the product in constant supply. This is the main upside to the Manufacturer -distributor -retail -end user relationship.....the distributor stocks and purchases in such an abundant supply that price points can be lowered and product is readily available, upon order to the retail network....
Today, however, for many products, a brick and mortar store is not essential-product is sold over the internet and delivered via several agencies....therefore a "distributor" also becomes the retail seller, in the past this was not common in the manufacturer, distributor, retail relationship chain, today we are seeing it is more and more the case...
So it would seem if Freestyle has arranged an exclusive contract for a certain product or number of products for a specfic area, USA, they are then also a "distributor to other retail outlets as well as their own retail sales division, competing with those outlets whose customer base uses the product? That is a question.
I guess a a small upside might be, a person on the east coast could more readily get their Efke products via B and H, but only if B and H would have ordered thro FreeStyle and had arranged for the products to be dropped shipped? In these cases the agency with the exclusive agreement gets a percentage of all products sold in their exclusive area! I do not see how this arrangement is helpful in bottom line price to the end user? Am I all alone and out in the woods on this?