Happy Dussehra and Diwali

With the onset of the first full festive season following the official or unofficial end of the slowdown, both vendors and partners are devising innovative and exciting schemes to boost their businesses. Not surprising, considering that consumer buying patterns have gone back northwards while market sentiments otherwise too are soaring. Schemes normally generate enough excitement that is essential for pumping up the motivation factor-it is definitely more of an impact effect and generation of business momentum than having a direct sales correlation.

The nature of these schemes are witnessing innovations every year. From taking the partners on holidays to exotic destinations, to having interest-free EMI schemes, to bundling goodies ranging from pen drives to broadband connections-the need for innovation and customization is being increasingly conveyed to the vendors. Even though consumers are becoming more conscious towards spending, such schemes seem to have a positive impact on sales. While the sole objective behind such schemes/promotions is to help channel partners boost their sales by promoting the end product, More and more partners now want a 360 degree support from the vendors in not just availing the scheme but making the most out of them. In return, the vendors are getting more motivated with the overall structuring of these schemes. The subtle transformation of these schemes is visible every year. Vendors are slowly moving away from the erstwhile stock keeping based incentives format to a logically progressive sellout based incentives format. Since partners want promotional schemes which are more saleable, vendors also try to put new products as incentives/rewards. Sometimes channel partners are allowed to decide on the reward of their choice, based on their preferences. The real bonus for resellers in such innovative schemes is that they can now mix and match slabs depending on their preference and convenience.

More and more partners are finding the need for schemes which are region and tier-specific. Certain schemes which are announced by the vendors in the metros may not yield the same results in the B and C-class cities. The buying patterns and consumer behavior in small cities differs when compared to metros. Also, many resellers cannot achieve volume sales and not even small targets during the scheme period. A vendor must find out which schemes would attract the channel in small cities and at what level.

Not many beg to differ on how partner schemes are a definite propeller for partners to sell more during the festive season. In fact, this is the best time of the year for partners to convert leads easily and in more numbers. Festive schemes typically tend to be skewed towards inciting consumer purchase and naturally aid more sell out by partners.

Festive season is an important buying period. It is critical that partners have enough stocks available to service consumer demand, and to ensure the same, a good payout scheme typically is launched for the partner. Partners must make the most of the hype created in the market during the festive season by creating the right pull in the market through various schemes which at times can also be offered to the end customers. Festive promotional schemes help a great deal in spiking up the sales as well as increasing the partner´s bottomline.

Even as vendors continue to innovate in terms of partner schemes, partners too realize that schemes have become more relevant in these difficult times wherein competition is stiff and margins thin. With the festival season now well set in, most vendors are already in the process of announcing attractive schemes to win that extra mind share of their partners, for whom anything more than the usual is always welcome. Happy Dussehra and Diwali to all of you.

(rajneeshd@cybermedia.co.in)