Ingersoll-Rand

Managing Multiple Channels

Nikhil Gupta
Saurabh Ashok Thadani
Srikanth Konduri
Srivatsan Rangarajan
Tushar Gupta
Varun Joshi

10FN-121
10FN-102
10FN-109
10FN-110
10FN-115
10FN-117

Scenario 1 Direct Sales

Advantages :
Minimal cost of sales
Well established service capability
Training of distributors not required
An addition to the shrinking product line of
the direct sales
2% spare part and maintenance cost not
attractive to the distributors

Scenario 1 Direct Sales

Disadvantages :
Partial attention to Centac-200
Loss of sales in Rotary compressors for
distributors
Centac-200 in category for distributors
according to hp assignment policy
Increase in time to deliver and service :
dissatisfaction among customers
Adds to inventory cost of I-R

Scenario 2 Distributors
Sales
Advantages :
Increase in revenue and profits for
distributors
Well established network
Attention towards Centac-200
Easy accessibility for customers
Better and quick serviceability

Scenario 2 Distributors
Sales
Disadvantages :
Lower profit margin for I-R
Need for intensive technical training for
distributors
Lack of attention towards other
compressors
Less control of I-R over the distribution
channel : Price decision

Scenario 3 Proposed
Solution
Advantages :
Increase in revenue and profits for
distributors
Higher profit margin for I-R compared to
scenario 2
Attention towards Centac-200
Easy accessibility for customers
Better and quick serviceability
Minimal Training of distributors

THANK YOU