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How to Request Product Distribution Rights from a Manufacturer by Letter

5/25/2018

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Brenna Swanston reports:

"Running a retail business means finding products you want to sell from manufacturers you want to work with – and convincing those manufacturers they want to work with you as well...If you're running a wholesale distribution business, you want to convince the manufacturer that you're the best possible connection between it and retail sellers. You'd likely be selling yourself as the sole distributor of the product in question, so how you present yourself in the initial distribution rights request letter is of the utmost importance. You want to appear professional, knowledgeable and receptive. If you're running a retail distribution business and your customers are members of the general public, rather than other retailers, it's your job to convince the manufacturer that your retail business gets enough foot traffic and draws the right crowd to justify giving you distribution rights for the product in question. Again, it's important to sell yourself as a professional...If a manufacturer sees that your email address is linked to a free Google, Yahoo or Hotmail account, the contact might think your business isn't established enough to warrant its own domain name. Invest in an email service for your business to help boost your credibility...There is nothing wrong with sending a hardcopy letter by postal mail, either, providing that you have professional letterhead with which to send it. Whether your communication is 'dead tree' or digital, the same standards of professional business correspondence apply...Fill that email subject line with something indicating that you're seeking a relationship with the manufacturer that will benefit it and that it'd be worth a person's time to open your email and read it all the way through. 'Retail distributor request' – it's short and simple and announces, 'I want to give you business.'...Use a salutation and a respectful signoff. Remember that though you're making a request, you're also making a sale – a sale of your business' brand and reliability. Inform the potential client of what your business can do for its business, and ask for details regarding what it looks for in a distributor.
Here's what to include in your letter:
  • Start with a standard salutation. When possible, locate the name of an executive or owner who would be responsible for negotiating with you. If that is not possible, you could begin with 'Dear Sir or Madame.'
  • Begin with an introductory sentence that includes the name of your business and that you are interested in distributing the supplier's products.
  • Note how long you have been in business, your annual sales volume, and the geographical area or areas in which you are currently operating.
  • Include names of current suppliers.
  • Explain what you need from the supplier, including things like minimum quantities and wholesale price lists.
  • Provide contact information, including your phone number and email address.
...Proofreading should be a no-brainer, but people forget it all the time. Comb through your email for spelling and grammatical mistakes, paying extra special attention to the spelling of people's, products' and companies' names. Get an extra set of eyes on your letter, as well. Solid spelling and grammar is important for your credibility as a businessperson...Wait a week, and if you haven't heard anything, send the manufacturer a follow-up email. Keep it short and sweet, asking if a representative has had the chance to read through your previous email. Reiterate your contact information in case the manufacturer's representative has any questions or would like to chat further, and don't be afraid to send more than one follow-up. Follow up one to two weeks after your initial request letter, and if you still don't hear back for a week or two, send another follow-up email. If you go yet another couple [of] weeks without a response, consider calling the manufacturer to request a meeting...Some manufacturers have information about getting distribution rights on their website or product catalogs. Check out the manufacturer website and you might find a simple form that can save you the trouble of writing a formal letter. You might have to wait weeks or months to get a response, and you can't distribute a licensed product until you receive written permission. Expect to pay for a distribution license. You might also have to pay royalties. Check the financial figures before seeking a license in order to determine whether you'll be able to make money when you factor in these costs."
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