Push Strategy

Creating the network of resellers, agents, brokers, representatives

You can use the Push Strategy in the following cases:

1. Your product is popular and does not involve deep customization

2. You are new on the market

3. You have tainted reputation, you can "borrow" mediator’s reputation

4. You're not going to stay long in this market and the release of this product is temporary

Be careful! 1. Advertising your product, in same time you advertise Reseller

2. There are the costs associated with sales, within a developed system of discounts for resellers, various contests, loyalty programs, providing them with various promotional materials, training, sales and so on.

3. Nothing keeps the reseller to break the contract with you

4. It is difficult to control and predict sales. Small businesses always get to a certain dependence on distributers which are always pursuing their own interests

5. The breach of contract with a key agent can almost completely block the flow of new customers. This is a fairly common situation where the agent is "big", and you are "small"

Pull Strategy

Selling by yourself

PROS

1. To release services or products under its own brand2. To position your product as an element of prestige and service for the elite 3. By investing money in product advertising, in same time you will be supporting your brand 4. To get better control over sales and more stable ROI

cons

1. The implementation of this strategy requires a financial and time costs

2. Your business is highly dependent on your reputation

Be Smart, do not share your profits with resellers

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