Take a different look at why paint dealers don't want to be big.

China Coatings Network
News: With the development of China's
coatings
industry, especially the development of coating integration, paint dealers seem to be away from
coens manufacturers
gradually away, in the development of
coatings factory
are now facing another crisis - by dealers this most important alliance led by the nose.
most paint manufacturers are hoping to continue to develop, bigger and stronger, become China's first, and then the world's first, become a brother in the industry. Of course, in a sense, the so-called industry brother, but also in the achievement of the factory owner's own emperor dream.
paint manufacturers to continue to develop, which naturally also requires its dealers can keep up, specifically, this requires dealers to update their thinking in a timely manner, increase investment, with the manufacturer's market activities, the best result is naturally a win-win cooperation, we get sustainable development together.
Hope is hope, the reality is that many paint dealers do not follow the path set by manufacturers, or reluctant to invest, do not increase staff, do not expand channels and areas, do not increase the coverage of the terminal shop market, or simply do not increase sales. The amount of work each year is just completed, even if there is clearly room for improvement in the market, dead is not willing to improve performance.
This is really let the factory owners are very angry, so the incentive to force, expert brainwashing, model demonstration, can make the trick all on, really can not change dealers. Some factory owners really do not understand, why this dealer is not willing to cooperate with manufacturers, business to do a serious point, increase some input, do a good job in the market base work, and then continue to improve sales, sell more and earn more ah.
manufacturers are manufacturers, dealers are dealers, manufacturers think dealers will not increase sales, refused to be bigger, is bound to be the dealer owner's own awareness and limitations caused. But have you seriously considered what dealers think of this issue? The author himself is an ordinary small dealer, next, the author from the dealer's point of view to analyze this problem, of course, my own ideas can only represent a small number of dealers.
Dealers are not willing to be big, specifically to strengthen the market base work and increase sales, mainly because of the following factors:
from the manufacturer's point of view, sales increase will inevitably lead to a profit increase, sell more sure to earn more, in fact, this algorithm in the dealer this is not established. Because of this increase in sales volume, the overall gross profit will certainly have a synchronized role in the promotion, but this business, the last thing to do is net profit, gross margin increase does not represent the simultaneous increase in net profit. There is also a cost problem in it, if the performance is to improve, this operating costs must be increased simultaneously. However, due to the domestic private dealer company's internal management level is generally poor, this management level directly determines the cost control capacity, in the absence of adequate cost control capacity, under the premise of increasing sales, costs will soon rise, and, this cost will often rise faster than the rate of gross margin increase, in the end, will often appear annual performance increase, but net profit in the situation of annual decline. Improving performance is not good for the dealer owner's substantial income until there is sufficient cost control.
It's not a determination to boost sales, it's about making real up-front investments, such as adding people, increasing vehicles, and increasing investment in the market, that is, these investments are invested first and then recycled." The question is, will the money invested in the early stages be earned later? If you don't earn it back, you don't lose it? Then again, the product quality problems how to do? What if the manufacturer changes dealers? What if there is a problem with the manufacturers themselves? Who will guarantee that the dealer's investment will certainly have a late-stage return? From a security point of view, either keep the lift rate low, less investment, although earn less, but safe. Either increase the upfront investment, expect the later can have a double return, earn more money, between security and risk, at least the author will choose to be safe. After all, the business is too small, poor ability to resist risks, we can not afford this risk, and even dealers will take a backward development strategy, than not manufacturers big business, emphasizing the development of the first, even if the money invested in the early water will not hurt.
's improved performance means that the company's own size and market coverage, as a boss, naturally need better control, how to control the growing team. More and more customers, many dealer bosses even existing business teams and external customer base, still dare not say that control in place, and then put large-scale, even if it is more out of control. Perhaps a dozen people, millions of businesses a year, even if not in control, will not be too big a thing, after all, there are only such a large plate, are under their own eyelids. If the workforce has dozens of hundreds of people, a year's turnover of tens of millions, more things, and not all things the boss can see, this accident, even if it is not a small matter. This is like driving, know that the car can only drive to sixty yards, sixty yards, the brakes can still be controlled, but now suddenly drive to a hundred yards, has exceeded the brake control capacity, speed is up, the danger is multiplied, have to take this risk?
The increase in performance, while it will lead to an increase in profits, will also add many problems, such as the cost increase mentioned earlier, or the management problems caused by the increase in personnel, the tax problems caused by the increase in turnover, the expansion of the company led to the mafia and red society to come to the door, more relatives and friends to borrow money. Tree big wind, after all, make money is ultimately to improve the quality of life, these bosses are not willing to face all kinds of things increased, will certainly lead to the boss's quality of life decline, money is earned a few more, but put themselves tired half dead, why?
Some manufacturers think that dealers are some profit-esville small businessmen, like to maintain and attract dealers with interests, in fact, many dealers have already passed the initial stage of the enterprise of the interests of a high degree of concern. When starting a business, busy with work, lack of family, their own body is also overdrafted a lot, now the business has been stable period, should pay more attention to the family, make up for the feelings of partners, pay attention to the growth of children, at the same time, also have to pay attention to their own physical conditioning. Business is not finished, money is not finished, why so tired? Do you have to think about money? Besides, now many dealer bosses think that to do specialized fine, strengthen internal management and brand operation, bigger is no longer the most important, stronger is the fundamental.
Of course, do not want to be big reason there are many more, in short, is not the boss does not like money bite more, the reason is not willing to cooperate with manufacturers, do not want to continue to improve performance, there must be its own considerations or concerns. As a manufacturer, do you understand? Just advise others to drive fast, but also have to care about how to brake others, if the dealer itself lacks sufficient control and management capacity, manufacturers have not helped dealers in advance to consider and solve these problems. Besides, does the dealer boss have nothing but business to make money? As a dealer owner, he is first a parent, parents, and then the identity of the boss, not a simple money-making machine. For this, the factory owners have considered how much, and for dealers to do what?