Tablets, mobile phones, game consoles, music players, and related accessories represent a $200+ billion dollar market, according to the Consumer Electronics Association. Developing categories such as 3D printers, health and fitness devices, smart watches, ultra HD television displays and smart thermostats are also driving category growth. Virtually all consumer electronics (CE) products move through channel partners to get to the end consumer.
CE firms selling into the consumer and retail space have to deal with a variety of channels including private-label OEMs, distributors, retailers, etailers, resellers and DMRs (direct market reseller). Much of the end-user demand is often driven by time-limited and seasonal manufacturer rebates and promotions. The ability to track channel data in real-time to help prevent stock-outs is crucial for the consumer and retail sectors.
Consumer Electronics (CE) channel challenges
Successful channel management comes from managing complex distribution activities and processes, including but not limited to:
- Aggregating and aligning POS, inventory, channel incentive and other data from different tiers in the channel (i.e. distributors and resellers) for consolidated analysis
- Normalizing and consolidating both reseller and enterprise end-customer names
- Managing and validating multiple POS (back-end) credits (i.e. distributor price exceptions and reseller preferred pricing) for the same POS transaction
- Consolidated channel dashboards and analytics with partner scorecards for complete channel insight
- Complex sales credit assignments and commission splits based on arbitrary combinations of distributors, resellers, end customers, territories, product families, etc., net of back-end credits
- Collaborating on and validating channel marketing incentives such as SPIFFs, MDF, co-op, volume incentive rebates and loyalty programs
- Sell-through revenue recognition, net of back-end credits