‘Mastering’ a Niche in Distribution

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rederringer
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Re: Master distributors
rederringer   12/6/2012 2:07:17 PM
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@t.alex - Thanks for the comment and the question. While a different business model than selling products to end users, the business model is much the same as any other business in that a master distributor has to provide value to its distribution customers and its vendor partners. In my Thanksgiving Dinner analogy, all that attended brought something to the table and there was room at the table for all!

t.alex
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Re: Master distributors
t.alex   12/6/2012 9:04:24 AM
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Interesting analogy to illustrate the concept of master distributor. Is it true that when they sell to other distributors, the margin is not as good as selling directly to customers ?

rederringer
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Re: Master distributors
rederringer   12/5/2012 6:58:11 PM
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@ Barbara - Like the eCatalog distributors, where four companies dominate in the electronics components space, master distributors are also a limited and unique group. There are only a few companies fully committed to the space - even fewer that have successfully transitioned to become integrated links within a supplier's channel strategy. As a result, some of the traditional electronics components and eCatalog distributors offer some of the services historically provided by a master distributor, but the complementary yet non-competitive nature of a true master distributor differentiates from those that offer only a few items from the menu. Here I am referring to food again - time for dinner!


Thanks for the comment and the question!

Barbara Jorgensen
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Master distributors
Barbara Jorgensen   12/4/2012 3:30:00 PM
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I'm wondering: how big is the master population in the electronics supply chain? I've always been aware of the model, but I have a hard time naming more than a few companies...



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