|
Posted by dpb on August 12, 2006, 9:23 am
build_products@hotmail.com wrote:
> What is the advantage of being part of a buyer's group like "Do it
> best" for a dealer versus buying from a regular distributor like
> Bluelinx?
Advantages are national name recognition and advertising plus some
increased "buying power" of pooled buying of common stock across
multiple stores is _supposed_ to be passed on to dealers. Some of them
(and I'm not sure of "Do It Best" itself) are either company-owned
stores or franchises rather than independent affiliations so there may
be tighter/looser associations as well up to automated
stocking/restocking, auto- or sem-auto product volume analysis and
selection, etc.
For individual stores of the "Mom and Pop" variety and size, there is
often essentially no advantage in purchasing volume discounts from
distributors as from those same distributors who also sell OTC because
they simply don't have the volume as individual stores to meet the
volume discount targets. Similar to the olden days when there were the
IGA groceries--that was a group of independent smaller store owners who
saw the problem of competing w/ the new chains and formed an alliance
amongst themselves to buy common product in bulk.
| 
Yahoo! 
Google 
Windows Live 
del.icio.us 
digg 
Netscape 
XML Sitemap