Final Distribution Plan for POSTrue Point of Sale System

Joseph Cyril Cruz

Lyceum of the Philippines Laguna – ETEEAP
josephcyrilcruz@lpulaguna.edu.ph

INTRODUCTION

As a small business owner, you must identify the right technologies that will enable
you to provide your customers with a compelling retail experience. This will enable you to
sustain and improve your competitive advantage in the marketplace. As the term implies,
the term "POS" stands for "Point of Sale". The use of point-of-sale systems (POS) is quite
commonplace when it comes to online retailers and retailers who use their own stores to
conduct their sales. Nowadays retailers no longer use cash registers to process sales,
which are then transferred to accounts or stock lists. Rather, they rely on computers to
process and record sales information. With retail point-of-sale software today, a wide
variety of tasks such as billing, promotions, returns, etc., can be simplified, and it can be
applied to a wide range of scenarios. It is possible to integrate the POS system with other
platforms - such as the eCommerce platform, accounting software, and warehouse
management system - and have them work together. It can be regarded as an integral
part of an enterprise POS system, a comprehensive POS system that allows monitoring
and reporting of sales, data analytics, inventory tracking, connectivity to mobile devices,
customer data management, employee management, and integrations with other
enterprise systems. SMEs (small and medium enterprises) make up the majority of our
target market. Therefore, we also cater to existing businesses as well as start-ups. Our
goal is to provide our customers with quality products and services at an affordable price
as part of our commitment to them.

DISCUSSION

Product Description

POStrue is a suite of POS (point-of-sale) applications. We help merchants manage

their sales, inventories, employees, and customers with our tools. The name stands for
the loyalty. It reflects our belief that customer loyalty is an essential component of
business success.

We provide an easy-to-use interface and a straightforward learning curve. We

believe that by empowering small businesses, which are the backbone of every economy,
we contribute to human welfare.

Target Market

Global Future Solutions (GFS) is a software company based in Abu Dhabi, UAE
that caters to the needs of existing businesses and aspiring entrepreneurs to help them
build their retail startups. The clients in this market recognize the importance of efficient
operations and management practices, which is why GFS offers customized solutions
based on their needs.
Positioning

It is our mission to serve all retail and hospitality markets by providing a

comprehensive range of POS solutions and providing support for their technological
platforms. As a company, GFS is committed to maintaining ethical practices throughout
our entire operation while providing low-cost, innovative products and services.

DISTRIBUTION PLAN

Distribution Objective

The main objective of this distribution plan is to make availability of our POS
system to its target market. It is also the goal of the company to create a well-planned
distribution strategy that will minimize expenses and other variables that can be hindrance
to the success of the company. POSTrue’s initial launch will need to maximize its reach
in the POS market.

Distribution Channel Strategy

1. Pattern of Distribution

Exclusive Distribution is the distribution pattern to be used in this plan. Through

this, the company will have total control of its promotion, service policies,
intermediary's price, and many other factors through its official website and sales
team.

In addition, the company will benefit from aggressive sales efforts by its sales
team. It will gain optimum market coverage and more control but at a lesser cost than
intensive and selective distribution.

2. Distribution Net and Structure

A. Sales Channels

To reach our target market, our products will be distributed through the
following channels:

• Official Website
• Sales Team

Our sales force will build a network of clients by directly reaching out to
prospects via telephone, client visits, and digital communication channels like
email and social media. Deals can be closed through personal arrangements, in-
person demos, and online sales. Online and offline marketing will be used
extensively by the company to increase its brand equity.
 B. Delivery Channels

Upon submission of the sales agreement, the system will be configured as per
the client’s subscription. Our implementations team will schedule the delivery,
installation and training based on the timeline discussed with the client.

C. Service Channels

The equipment warranty is valid for one year from the date of delivery. One
year of priority support is provided after the sale. Thereafter, normal support is
provided.

3. Roles of Each Distribution Channels

Each distribution channel is vital to the company. Their role is to link the
company to its target market. They represent the company to potential customers.
They can help POSTrue better understand its clients by gathering information
about them. Distribution Channels act as second-tier marketing agents. They also
serve as service providers. Additionally, they provide post-retail support, reduce
costs, and upgrade forms, so they add value to the company and clients.

4. Pricing Policy for each Distribution Channel

Pricing will be consistent between the website and the sales team. This is to avoid
conflicts between the two channels.

5. Key Performance Indicators

We need to measure these KPIs in order to check whether the company goal is
being follow.

• Sales Revenue
To measure the progress of the business in generating sales and
which channel is producing good results. With several points of data, we
can determine the business’s growth trends and projections.
• Upsell and Cross-Sell Rate
Used to identify whether certain verticals respond well to certain
product or service pitches.
• Sales Cycle Length
The average length of the sales team's sales cycle.
• Close Ratio
To measure how efficiently our team is closing deals based on the
leads they’ve worked.
• Fulfillment Time
The time it takes to ship an order after it has been placed. Including
the percentage of shipments that arrive within the given timeframe.