Traditional sales model highlights the drawbacks of cement enterprises how to reduce costs and increase efficiency?

2024-03-18 09:19:49

What are the drawbacks of the existing sales model of cement enterprises?

In 2023, due to the lack of market confidence and the deep adjustment of real estate, the competition among cement enterprises was fierce, and the benefits of the industry continued to shrink. Starting from the sales model, some enterprises attempt to gain a higher market share by optimizing the traditional sales model.

For example, many cement enterprises under China Resources Cement launched the direct sales model in 2023 to cope with market changes and improve profit margins with more flexible sales strategies and channel expansion.

Sales channel is an inevitable issue in the marketing activities of any cement enterprise, and the most basic classification of cement sales channel is direct sales and distribution. Direct selling is a sales system organized by cement enterprises themselves to complete the whole process of sales. Distribution is to extend the tentacles of enterprise services to every corner of the market through distributors, so as to reach more small and medium-sized customers and terminal customers. What are the drawbacks of the existing sales model of

cement enterprises? Li Huaihe, General Manager of Railway Construction Cloud Mining Business Headquarters of China Railway Materials Digital Science and Technology Co., Ltd., pointed out

when communicating with China Cement Network that the direct selling mode is difficult in customer management and high in sales cost, which requires enterprises to invest a lot of sales personnel and resources in market promotion and customer service. At the same time, the market coverage is relatively limited, which may miss some potential market opportunities. The channel management of distribution

mode is complex and price control is difficult. As an intermediate link, distributors may conceal key information such as market demand and price fluctuation. At the same time, if there are service quality problems or improper behavior in the sales process, it may damage the brand image and reputation of enterprises.

Breaking the traditional sales model and modernizing the supply chain with digitalization, the wide application of digital economy is an effective way to establish efficient and convenient supply chain management solutions, promote the cement industry to reduce costs and increase efficiency, and realize industrial transformation and upgrading.

Li Huaihe introduced that the digital ecological supply chain can help cement enterprises to improve procurement efficiency and quality, optimize supply chain management, open up information systems such as supplier management, financial management and third-party integrated e-commerce and industry e-commerce platforms, realize information interconnection and sharing, and improve the reliability and flexibility of the supply chain. For example, the railway cloud mining platform built by China Railway Construction Corporation can not only meet the requirements of online procurement, but also realize the whole process of online business operation, such as project information submission, contract signing and online demand, to meet the online management of the whole process of supply chain.

Reducing cost and increasing efficiency is the focus of many cement enterprises at present. "Digital ecological supply chain can help cement enterprises collect and analyze various data in real time, including purchase price, supplier performance and credit evaluation, and provide strong support for enterprises to make more reasonable purchasing decisions." Li Huaihe introduced that the digital ecological supply chain can bring about changes in the way cement enterprises work, help them better cope with the current severe situation and complex industry situation, and grasp the initiative in the process of striving for a higher market share.

On March 28-29, China Cement Network will hold the " 13th China Cement Industry Summit and TOP100 Award Ceremony " in Hangzhou, during which awards will be given to top 100 cement and supplier enterprises, and experts and scholars will be invited. China Railway and other construction units jointly discuss the new development trend of the cement industry in the future, and work together to create the future! At the meeting, Li Huaihe will give a wonderful speech around the intelligent ecological supply chain. Sign up quickly!

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Correlation

Recently, due to the persistent cost pressure in the south, the price of concrete has risen slightly with the raw materials, but the growth of market demand is limited, and the overall quotation is still stable. From October 31 to November 6, the national concrete price index closed at 112.47 points, up 0.31% annually and down 10.11% year-on-year.