1.9 billion servings of Coca-Cola products are consumed daily in more than 200 countries. This figure is for Coca-Cola products alone. Look at the rate of consumptions across board in every country. The number will be huge. This shows how much the work is in the beverage distribution industry. Manufacturers turn out several products daily and the reception is warm. It however takes massive effort on the part of distributors to get the products to millions of consumers daily.
From energy drinks used by sport persons and millions other people, to soft drinks taken with meals or just randomly, to alcoholic beverages, the demand in the market is big.
Though there still exists, largely, distribution of beverage manufacturers to their retailers. It is not surprising to see branded trucks of manufacturers making their own distribution. However, this has not taken the business from distributors.
Distributors are contracted to because of their wide networks. Distributors are companies that can reach several thousands of markets both within and outside the country. They have grown their network to cut across several stores and they have established lasting relationships with these stores. It is not impossible that a distributor can get your products to more than 50,000 stores. Some can do way more. If a manufacturer is just starting out, it is always helpful to use these distributors as they can provide wide distribution to products.
New manufacturers don’t usually have market and distribution presence. Their names are still quite new and unknown but with a distributor that can reach about 100,000 stores, the products can be fully launched on a global scale.
As much as manufacturers may try to get into stores themselves, there are other places where distributors are better suited. These places include hospitals, restaurants, fast food chains, hotels, and institutions. Though distributors take orders in large bulk they however make exceptions for retail centers like mini marts where much isn’t taken at once.
Just like any other beverage, alcoholic beverages are sourced from the suppliers and they get to millions of consumers every day. Clubs, bars, restaurants, and other places where alcohol is sold can hardly get orders from the manufacturers as it will be terribly plan logistics for such manufacturer to take over its distribution. Not just because these places cannot be reached, but because alcohol is sold in so many places that it will take a lot to be distributed.
The job of distributors cannot be overlooked as they play a very important role in ensuring that the average consumer gets access to products and services of his or her choice. It can be more essential when the brand is a new one and there is need to properly introduce the product to many customers. This can also be needed when the product is a well established one. Well established products are needed in several places and the manufacturer may not have the need logistical capability to cater for all the places where the products are sought for.