1. Introduction Distribution Supported Pricing & Design Registration
1. Introduction Distribution Supported Pricing & Design Registration
Most Semiconductor Manufactures choose 2 channels to sell their products. Direct where Value, Quantities or Strategic reasons Manufacturers uses its own sales operations. Remaining customers supported indirectly through distributors, setting distribution bye price to allow the distributor to make margin. Manufactures allow Distributor to apply for Volume or Strategic pricing and getting further discount called supported pricing. Some Products require “Technical Sales and Support” while being "designed in", to encourage and cover additional costs incurred a further distribution price reduction is offered, allowing additional profit from the work. To monitor, and administrate this process a supported price / design registration scheme is set up.
2. The Registration Process.
The Process required the Applications / Sales Engineer to complete paper a registration form: Figure 1 Registration Form
Once a Customer has been visited the form is completed and sent in to the distributor’s office, by fax or post. There a Franchise Manager who has responsibility for controlling and processing the application, checks the form and forwards to the Franchise’s Sales person, who then check the form and if accepted issues the supported pricing or design registration the process is outline in the registration flow diagram below.
There were 2 sets of records, the distributors and the franchise. The Distributor records are duplicated as the FEA Sales and the franchise Manager kept a copy.
Figure 2 Design Registration Flow Diagram
3. Issues with the Registration Process.
1. Updating, synchronisation and access to the records are difficult
2. Customer Identification correct Name Address, Multi Site, with an account, or with out, New customers, Previous account Activity, Competitions activity (Business aligned with other Distributors), Buying Location different to Engineering Location, Use of sub
Most Semiconductor Manufactures choose 2 channels to sell their products. Direct where Value, Quantities or Strategic reasons Manufacturers uses its own sales operations. Remaining customers supported indirectly through distributors, setting distribution bye price to allow the distributor to make margin. Manufactures allow Distributor to apply for Volume or Strategic pricing and getting further discount called supported pricing. Some Products require “Technical Sales and Support” while being "designed in", to encourage and cover additional costs incurred a further distribution price reduction is offered, allowing additional profit from the work. To monitor, and administrate this process a supported price / design registration scheme is set up.
2. The Registration Process.
The Process required the Applications / Sales Engineer to complete paper a registration form: Figure 1 Registration Form
Once a Customer has been visited the form is completed and sent in to the distributor’s office, by fax or post. There a Franchise Manager who has responsibility for controlling and processing the application, checks the form and forwards to the Franchise’s Sales person, who then check the form and if accepted issues the supported pricing or design registration the process is outline in the registration flow diagram below.
There were 2 sets of records, the distributors and the franchise. The Distributor records are duplicated as the FEA Sales and the franchise Manager kept a copy.
Figure 2 Design Registration Flow Diagram
3. Issues with the Registration Process.
1. Updating, synchronisation and access to the records are difficult
2. Customer Identification correct Name Address, Multi Site, with an account, or with out, New customers, Previous account Activity, Competitions activity (Business aligned with other Distributors), Buying Location different to Engineering Location, Use of sub
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