Historically, manufacturers could not afford to convey their products directly to consumers, therefore wholesalers were crucial. Distribution or wholesalers acted as “middlemen” between producers and consumers, dealing with customers and maintaining local stocks. As manufacturing becomes more digital and customer-focused, the role of the distributor becomes less important. Manufacturers increasingly offer their products directly to customers, which reduces costs and enhances brand loyalty. Customers may now buy from manufacturers directly and save money as a result.
- Pharmaceutical Manufacturing suppliers provide the following benefits:
Some of the advantages of acquiring raw materials and completed items directly from the manufacturer are listed below. Buyers that are considering going direct should verify that the manufacturer they choose has the skills and infrastructure to deliver things directly, on time, and to the requisite quality. You can only gain the benefits of direct buying if you collaborate with a manufacturer that has direct purchasing knowledge and abilities.
- Having a reduced price:
Distributors increase the cost of the whole supply chain, to put it simply. Infrastructure, personnel, transportation equipment, and storage facilities are included in this category. Purchasing directly removes the intermediary and any associated expenses. When these savings are split between the customer and the manufacturer, both parties benefit.
- Transparency in the flow of information:
Purchasing directly from the manufacturer offers you a single point of contact who is accountable to you and responsible for ensuring that your account gets the attention it requires and deserves. There are several advantages to having such a direct line of communication. Since there would be fewer persons engaged, there will be fewer miscommunications and uncertainties. Second, there will be nobody in between the customer and the manufacturer who may misunderstand the information. Second, it will be easy to get the latest information and instructions from the manufacturer. Lastly, buying directly from the manufacturer promotes a long-term collaboration that benefits both parties.
- Enhanced client representation standards:
When purchasing directly from the manufacturer, you get access to an abundance of product-related information. When you have direct contact with the manufacturer, you may get answers to your queries and recommendations on how to maximise the product’s potential. If there is no distributor involved, it is much simpler to deal directly with the manufacturer if there are any issues with the product or if you need to discuss modifications. By buying directly from the manufacturer, they are able to highlight their customer service expertise and differentiate themselves from the competition.
- Improved transportation and quality assurance:
When a distributor is employed, manufacturers forfeit a portion of their product control and monitoring. It is likely that more individuals handling the items may result in quality issues or transit delays. When ordering from a manufacturer directly, lead times are often more predictable, ensuring that clients get their products on time and in perfect condition.
- The capability to buy in smaller quantities:
Yes, this is feasible; distributors are not required to deliver enormous quantities! Due to the fact that many manufacturers only sell in large quantities, it may be impossible for SMBs to buy directly from them. However, not all manufacturers adhere to this principle.
In addition to these wonderful benefits, Medicine Manufacturing Companies in India provide an abundance of other benefits.