Keep an eye on unusual options flow on a symbol-by-symbol basis

Price: 30,000 USD

Access 2,000+ ETFs across a wide range of asset classes and fund companies Use the Schwab Personalized Portfolio Builder tool to easily create a

Download(Trail): Link download product trail Buy now

Access 2,000+ ETFs across a wide range of asset classes and fund companies Use the Schwab Personalized Portfolio Builder tool to easily create a

Trade marketing is a strategy focused on wholesalers, retailers and distributors rather than consumers, with the goal of increasing demand with supply chain partners and getting products in front of consumers. Common trade marketing activities include going to trade shows and offering promotions to potential partners.

n recent years, a number of new developments have changed the face of trade and marketing. The relationship between suppliers and distributors has evolved along the lines of trade marketing: a methodology that enables both parties to benefit from a well-tended relationship. What is the role of the trade marketer and how can he improve relations between business-to-business partners? Our business school takes a look at trade marketing.

What is trade marketing?

In French, this is known as distribution marketing. This discipline brings together all the marketing strategies implemented in the context of product distribution and supply chains.

In simple terms, trade marketing is where the supplier/distributor relationship lies. This is also known as distribution marketing in B2B sales strategies. The supplier must consider the distributor as a customer. Products are optimised to meet the needs of the end consumer, at the end of the chain.

Trade marketing is therefore one aspect of marketing, but it has its own specific features. It has a specific objective: to reduce costs as far as possible, optimise profits and improve sales and product efficiency. It is therefore part of the response to the needs of the end customer, while strengthening the relationship between intermediaries (distributors).

Where does trade marketing come from?

The concept of trade marketing emerged in the 1980s in the context of distribution. It first appeared in a book by Étienne Thil and Claude Baroux.

The early 1990s saw the emergence of hard-discounting, as well as a change in consumer habits, with consumers becoming less loyal to a particular brand. In the midst of the crisis, manufacturers decided to change their strategy and began to target distributors. The distributors, for their part, are concentrating on their positioning in terms of their target, while the manufacturers are focusing on their commercial relations with the intermediary customer, the distributor.

Trade marketing is evolving with the rise of modern marketing. It provides a concrete response to the needs of retailers and distributors. This adaptation to changes in consumer behaviour is overturning the standards hitherto seen in the marketing professions, and opening up a host of opportunities in all markets.

What is the aim of trade marketing?

Trade marketing fulfils several objectives thanks to its business-to-business merchandising approach: :

• Increase product visibility. This includes maximising their presence at the point of sale.
• Stimulate sales. By creating opportunities to increase sales through targeted promotions.
• Strengthening distributor partnerships. As we have seen, this area of marketing is an excellent way of improving relations between distribution channels and manufacturers.

More specifically, it involves optimising the supply chain to reduce costs and provide effective solutions for both distributors and manufacturers.

What are the advantages of trade marketing?

The benefits of trade marketing for consumers

The consumer is one of the primary beneficiaries of this trade marketing strategy. They are better supported in their purchasing process. Product suggestions are made both online and in-store.

Trade marketing operations can also lead to promotions from which the end consumer can benefit.

The benefits of trade marketing for distributors

Distributors can increase their sales volume, and therefore their turnover, through trade marketing, which encourages the promotion of certain products.

The aim is a win-win partnership: the supplier's sales increase in tandem with those of the distributor.

This type of operation also has other beneficial effects, such as additional advertising revenue and attractive promotional campaigns to build customer loyalty.