What a decade of building a brand in Sarawak taught us
Lessons in sales ownership, retailer servicing, inventory and sustainable growth.
More than selling products
For more than a decade, Kimyap supported the development of a consumer brand in Sibu, Sarawak.
The work covered retail account development, distribution, merchandising, inventory, deliveries and customer support.
Clear ownership in the market
A dedicated salesperson gave the agency clearer ownership of customer development, order follow-up and daily execution.
That work depended on merchandisers, warehouse staff, drivers, administration, finance and management working together. Stock availability, order processing, delivery, retailer support and payment collection each required someone to take responsibility.
Understanding retailers
Different outlets have different shoppers, product requirements, price points and sales potential.
A wider assortment is not always a better assortment.
Products with insufficient demand can create stock pressure for retailers and distributors.
Today, we focus on matching products, pack sizes and assortment to each customer.
The work behind distribution
Building the agency required investment in:
- Sales development
- Merchandising
- Inventory and stockholding
- Warehouse operations
- Delivery and route servicing
- Retailer account support
- Purchase planning
- Credit management
- Administration and finance
- Working capital
As the business grew, Kimyap committed additional people, delivery capacity and working capital to support it.
Lessons from inventory and promotions
Managing inventory and promotions reinforced a lasting lesson:
Promotions can support sales, but they should not become a permanent solution to inventory-planning problems.
Good distribution requires regular review of demand, purchasing, stock levels and customer movement. The aim is healthy movement from principal to distributor, retailer and ultimately the market.
What the experience changed
When evaluating an agency, we look beyond sales targets to:
- Product demand
- Suitable assortment by customer
- Inventory exposure
- Retailer requirements
- Sales ownership
- Route and delivery requirements
- Credit exposure
- Working-capital needs
- Operational capacity
Sustainable distribution requires balance:
The principal grows, the retailer succeeds, and the distributor remains able to invest.
We welcome conversations with principals looking to develop their brands in Sarawak.
Based on a former distribution relationship; no current appointment or endorsement is implied.