How to Distribute to El Paso
El Paso is a city and the county seat of El Paso County, Texas, United States. With a 2020 population of 685,575, it is the 6th largest city in Texas and the 22nd largest city in the United States. El Paso is currently growing at a rate of 0.21% annually, and its population has increased by 5.62% since the most recent census, which recorded a population of 649,121 in 2010. Spanning over 258 miles, El Paso has a population density of 2,663 people per square mile.
El Paso is not a very rich city. It doesn’t have one of the highest average incomes in the country. The average household income in El Paso is $62,132, with a poverty rate of 20.00%. However, the cost of living in El Paso is 10% lower than the national average. El Paso’s housing expenses are 22% lower than the national average, and the utility prices are 7% lower than the national average.
Distributing to El Paso can be through retailers (directly) or indirectly through the use of distributors. Both methods will be discussed when talking about distribution to the areas within the city.
To understand distribution to El Paso, it will help to consider the areas in the city and how the distribution of products works in them.
Distributing Products to Central El Paso
Central El Paso is part of El Paso, Texas, and contains some of the city’s oldest and most historic neighborhoods. Located in the heart of the city, it is home to approximately 130,000 people.
Central El Paso comprises neighborhoods such as Altura Park, Austin Terrace, Chihuahuita, Clardy Fox, Cotton Place, Downtown El Paso, El Segundo Barrio, Government Hill, Highland Park, Loretto Place, Magoffin Historic District, Manhattan Heights, Sambrano, and Southcentral El Paso.
Being a large area, distributing to this area can pose a big problem. This is why many manufacturers prefer to engage the services of distributors. Distributors, experienced and established ones, often forge long-term relationships with retailers. They understand the market. They know what will sell and what won’t. If you’re a manufacturer looking to expand into the area, using distributors might be a good way to go.
This ultimately depends on the type of products for sale. The downside to going indirectly is the loss of useful data in the distribution chain. As much as the distributor may gather data, it may not be satisfactory to a manufacturer.
Notwithstanding, the distributor takes the stress off the neck of the manufacturer. The manufacturer does not have to worry about inventory and logistics – and so many other factors.
Distributing Products to Northwest El Paso
Better known as West El Paso or the West Side, the area includes a portion of the Rio Grande floodplain upstream from downtown, which is known locally as the Upper Valley and is located on the west side of the Franklin Mountains. The West Side is home to some of the most affluent neighborhoods, such as the Coronado Hills and Country Club neighborhoods. It is one of the fastest-growing areas of El Paso.
Distributing to this area could be done directly – distributing directly to retailers. However, getting retailers in a particular niche within a geographical location can be tough. This is why retail associations are great for this. Retail associations have retailers as members. They are geographically based, and many of them are focused on some types of products – though most of them are not product-based.
Some of the retail associations in Texas include the Texas Restaurants Association, Texas Retailers Association, and the National Retail Federation’s Texas branch. Within these associations, you can network and find suitable retailers for your products to pitch to.
Distributing Products to East El Paso
The area is located north of Interstate 10, east of Airway Blvd., and south of Montana Ave. It is the largest and fastest-growing area of town with a population of over 200,000. It includes the 79936 ZIP Code, which was considered in 2013 as the most populous in the nation with over 114,000 people.
A manufacturer can penetrate this area through any of the distribution methods. It is important to note that the chosen distribution method depends on the type of products to be distributed. More, the resources available also determine what methods to be used.
Tesla is an example of a brand that could control its distribution system down to sales and service. This costs a lot of money, but it pays back in a lot of dividends to the company. The company gets direct feedback from customers and can use this data to improve the consumer experience. More, they can keep track of everything down to inventory and warranty. Many manufacturers don’t get to do this as things become blurry during the entire distribution chain.
Things to Note When Distributing to El Paso
El Paso is a large city. This means you should expect to meet fiercely competitive products. You should find a way to make your products stand out from the crowd. You should constantly conduct market surveys to see what they want.
Marketing and Promotions
The El Paso market is a large and diverse one. Preferably, you should target your audience by their peculiarities. There are areas where upscale items will sell better, and some areas where the bulk of the market belongs to everyday items. It is crucial to understand who your customer is and the marketing messages that will appeal to them.
As El Paso is a large area, it requires being specific about where you want to distribute. More, you should ensure that from wherever you distribute to, you monitor inventory. This can be done digitally now. You should ensure that the shelves never run out of your products.