Building Distribution Channels
Why Distribution Matters: Direct sales don't scale. Dealers/distributors = market penetration at scale
Finding Dealers:
- Database search (5 min, ₹500-1,000)
- Direct calls to screen for territory interest
- Pitch margin/support/brand positioning
- Pilot with 5-10 dealers in key cities
- Scale based on performance
Vetting Criteria:
- Existing dealer network (credibility)
- Territory coverage (geographic fit)
- Sales capability (team size)
- Credit worthiness (financial health)
- Relationship potential (long-term fit)
Typical Deal Structure: 20-30% margin, bulk discounts, payment terms (COD or 30 days), exclusivity clauses
Growth Path: 10 dealers → ₹1cr revenue | 50 dealers → ₹5cr revenue