What Are The Differences Between Franchisees And Agents?

There are three most common modes: direct selling, agency and affiliate.

Direct sales is not necessary, that is, manufacturers directly open shop to sell products.

What about franchising and agency? In fact, in terms of franchising and agency, the concept of franchising is that the franchisee inputs capital into the loan. The company provides the brand and the source of goods to operate in the form of storefront, facing the consumer group as a retail customer, and the reason for the generation is to carry out business in the form of a region. The agent is the same as the head office, that is to say, the franchisee is in the divided area, and the service object of the agent is the franchisee in the region.

Why do manufacturers sell clothing directly with agents?

So what's the difference between franchisees and agents?

Normal is

The market price is the same as that of the manufacturer, but some agents require that the price be added within the scope of their agents, so there will be different prices in the area.

There are four ways to join in general:

1, agent

There is a global agent or agent from the whole country to a province or a certain area of a city.

Of course, the larger the agency, the higher the conditions, such as agency fees, agency margin, sales performance of agents.

2, join

Manufacturers usually set up several franchisees in each city or region.

In addition, some agents will set up several franchisees in a certain area.

So it can be said that manufacturers and agents can set up franchisees.

3, collateral for sale

Just as its name implies, it is to deposit a sum of money in the factory, and the manufacturer will take the amount of money you have to pay to sell it.

4, get goods

The above points are most of the cooperation with manufacturers and brands.

In fact, whether it is

Or agents, when choosing brands, they need to be cautious and thorough.

Franchisees or agents should choose brands based on their own objective situations. When joining or agents who have strong financial resources but do not have the operational skills of the apparel industry, they should choose the enterprises with strong operational capability and mature regional success. When they choose the brand, the brand enterprises can provide substantial support to agents and franchisees. If they are familiar with the local market consumption habits, have good ordering ability and sales management skills, when choosing the new agent brand, they should pay more attention to the development potential of enterprises and look at the management ideas of enterprises.

Therefore, agents or franchisees must pay attention to choosing brands when choosing brands, especially new ones.

In many cases, the strict policies and management of brand agents and franchisees can really ensure the profits of agents and franchisees.

Only those brands that have no support for loose policy must be cautious when choosing.

For competent agents and franchisees, it is the basic decision principle to look at brand potential rather than scale.

When the brand has a preliminary choice, it depends on the popularity of the product. It can directly ask the Brand Company for its past sales data. It can also learn from the side, and understand the sales situation by the shopping center and the agency that has run the brand.

Secondly, according to the brand positioning and product style, determine whether the number of your target customers is enough.

Finally, whether its product pricing is competitive in similar brands, and whether the design style is consistent with the consumption habits and preferences of local consumers, so as to avoid the possibility of conflicts and conflicts as far as possible.