Tip: Think Long-Term with Vending Customers - Modern Distribution Management

Log In

Tip: Think Long-Term with Vending Customers

Programs are expensive, so distributors need to build a solution that will pay off over the long-haul.
Author
Date

To compete in an increasingly busy market dominated by multibillion-dollar distributors such as Grainger and MSC, distributors offering vending services must think long-term. “These programs are very expensive to implement and to execute in the beginning, so if you’re not committed to providing your customer a solution that’s going to ensure you’re there for the long-haul, you’re going to be making these investments over and over and not realize the opportunity to be profitable,” says George Ponce, president of Machine Tools Supply, Costa Mesa, CA, in the MDM case study, Understanding Customer Needs is Critical.

The key to maintaining a successful vending and inventory management program is for distributors to have a deep understanding of how customer requirements affect their own internal operations.

“If I’m doing my job correctly as an inventory manager, I’m able to correctly determine what inventories I need for a customer and manage the supply chains for those inventories in a profitable manner so I’m not investing in excessive costs to compete,” Ponce says. “I’m focusing my investments specifically to the customer and providing them with a solution that is designed specifically for them.”

Read more about Machine Tools Supply’s approach to vending in this case study.

This case study was a part of the MDM Special Report: The Industrial Vending Boom.

Share this article

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.