Review of Schutz’s Distribution Network

A Review of Schutz’s Distribution Network

IBC Schutz has a vast distribution network that is located throughout the world. Thanks to this interconnected group, it not only allows Schutz to grow its business in various countries, but aids in creating an efficient logistical network. This encourages substantial growth and proves to be a cost-effective technique. This distribution network also allows IBC Schutz to work alongside local businesses and resellers who can sell Schutz’s products in ways that the company would otherwise be unable to and creates a unique international presence for the brand. Below is an intricate look into how Schutz’s distribution network operates and why it is crucial to the company’s success.

Schutz's distribution network analysis-1

What is a Distribution Network?

A distribution network is a group of storage and transportation systems that help to move products around. It creates an inventory of the goods a company has and helps to better organize them so they can be distributed. A distribution network also allows a company to provide its materials to a reseller who can sell the items in a way that the brand is sometimes incapable of.

The Importance of a Distribution Network

Having a distribution network is important for many reasons. Below are a few aspects as to why Schutz finds it so crucial to its success.

It Helps to Produce and Transport Items Quickly

One of the most important aspects of a distribution network is that it helps a company to quickly produce and transport items to numerous locations. Schutz creates a distribution network that is able to rapidly create and move products to where they are needed. This is not only efficient, but cuts costs and prevents excessive amounts of pollution due to poor management.

It Improves Local Advertising

In addition to this, a distribution network helps a brand to fully understand how to advertise in certain areas so they can reach potential clients and keep the interest of current customers. A distribution network also helps to promote goods in regions with appropriate advertisements that work well for a specific business community.

It Keeps Products Organized

Without a proper distribution network, products can easily become lost and mismanaged. Schutz works to have an organized distribution network that keeps stock of all items in each of its facilities. This also prevents products from becoming damaged due to them not being kept in check, something which can occur when they are not placed correctly in areas and are improperly distributed so as to cause destruction to them. Good organization helps employees to quickly distribute items when ordered rather than them having to spend hours searching for products that are not in their correct distribution line.

It Saves Time and Money

By having a well-organized distribution network, it saves money because it encourages faster transactions and prevents unnecessary work from being done. This allows employees to focus on creating and packaging products for instant shipment rather than having to search for prolonged periods of time for products in the warehouse.

Schutz understands that a good distribution network is vital for a successful company and works to create a network distribution process that is able to reach its clients through various means.

Schutz's distribution network analysis-2

How Schutz’s Distribution Network Operates

Schutz’s distribution network operates in various ways, mainly through direct distribution, with the help of resellers, and by having an international presence.

Direct Distribution

While resellers are important to the growth of Schutz, the brand also uses direct distribution. This allows Schutz to sell its products directly to the customer which can be beneficial in many ways, such as with pure transparency and being able to immediately answers questions that a client might have about a specific product. Through the use of direct distribution, Schutz is able to also learn many things, such customer buying habits, concerns clients might have about a certain product, and how items can be improved for the future. This distribution network also allows Schutz to immediately address the needs of its customers and ship items to them quickly.

Resellers

Resellers are important for Schutz to have as they help the company to expand in ways that might not otherwise be possible. This in return encourages better profits and helps the brand to reach customers quickly. By using the services of resellers it also helps local clients to learn more about Schutz’s products as they are able to buy them from a source they trust. It also allows Schutz to invest in local companies which can create new jobs for a specific region.

Types of Resellers

Schutz provides its goods to numerous resellers. These include online e-commerce stores and warehouses where customers can physically walk inside and view items in person. There are numerous types of resellers that Schutz provides products for.

Selective Resellers

This type of reseller focuses on selling its goods to one area. Doing so often helps Schutz to grow in a smaller region, although selective resellers often do not carry large amounts of Schutz products. Despite this, it helps Schutz gain trust in an area so it can potentially grow in it.

Affiliates

Affiliates help to increase web traffic to Schutz’s main page as they ultimately serve as an advertising tool. While they are often owned by a small company or brand, they still use time and energy to market Schutz’s goods either by placing advertisements on their websites and social media platforms or by highlighting goods from Schutz in their stores.

Partners

This form of reseller is a larger vendor that works closely alongside Schutz to sell items. Many also implement different forms of technology to redirect traffic to Schutz’s website networks and social media pages.

International Presence

Schutz has a large international presence with numerous centers located throughout the world. This allows Schutz to not only be efficient in producing items but to quickly distribute them when ordered. An international presence also helps Schutz to better understand how to advertise and market its products in various countries to catch the attention of consumers.

Where is Schutz Internationally Present?

Schutz is present on almost every continent which is significantly important when it comes to having a strong distribution network. Because of the many facilities in different regions, it helps goods to be made and shipped quickly rather than Schutz having to depend on one factory and area to make bulk orders. Countries that the brand is present in include France, Germany, Indonesia, China, the United States, Australia, Brazil, and Argentina.

By having factories placed strategically in many different towns and cities in these locations, it proves to be cost-effective and allows the shipment of goods to be quick to meet customer demands. In the end, this benefits both Schutz and the companies ordering from the brand as it results in swift transactions and helps businesses to meet demands and grow faster.

Ways Schutz Manages its International Presence

Despite having a vast international presence, Schutz makes sure that it is well-organized and adheres to local needs. This includes using:

  • Local websites.
  • Visiting trade fairs throughout the world.
  • Updating social media networks daily.
  • Releasing numerous press reviews.

By having a strong international presence, it also helps the company to grow significantly in regions and build trust in them. This is done by updating each of the region’s websites and social media pages. Clients will also find that local websites are written to cater to the needs of businesses by highlighting local stories in their area regarding Schutz and its products and writing the web pages in native languages. This encourages Schutz’s international presence to grow while also creating a strong sense of community among the brand and its investors. 

Supply Chain Optimization

Schutz’s supply chain optimization allows the company to have a strong logistical network that is useful for its distribution network. Schutz focuses on being cost-effective and environmentally-friendly when it comes to its distribution service. This is because the brand looks closely at the type of packaging and shipping needed to distribute products in different areas. This logistical aspect also helps clients to keep their costs down as they will not have to pay extra for shipping and similar costs which can cause prices to increase dramatically.

In the end, the brand’s supply chain optimization encourages better communication among Schutz and companies it works with while making a strong and organized distribution network that results in clients getting their products quickly.

Ticket Service: An Example of Schutz’s Distribution Network

One of the best ways to show how the company’s distribution network operates is with the use of its Ticket Service. This service gives Schutz IBC customers the ability to request that Schutz pick up any IBC containers at their warehouse for reconditioning. Clients can contact Schutz through the use of an online form or with the Schutz app. Schutz is then able to use its distribution network to quickly collect the IBCs, refurbish them, and then redistribute them. This process takes only a few days to complete because the company is able to pinpoint where collection is needed and then send out information to a local Schutz facility to pick the containers up.

An organized distribution network is crucial to any company’s success, something which Schutz works tirelessly to create. Because of this, customers will find that the company is not only able to quickly move goods around, but has a vast network of resellers who can help Schutz reach customers around the globe. Thanks to Schutz’s intricate distribution network, the company can grow in ways that would otherwise be impossible.

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