The distribution chain is built around different links. The tire manufacturer interacts commercially with a distributor (wholesaler or distribution network), who sells the brand’s products to an end customer, or an intermediate dealer who makes the final sale.
If the tire manufacturer has good visibility of the market, it generally has less control over the dealers and end customers’ needs. With the sales details provided by its distributor customers, the manufacturer can improve its knowledge of the final market and detect new opportunities in the portfolio of its partner distributors.
The tire manufacturer can then build on this broader understanding of the market to define its strategy in terms of pricing, product mix, product plan, etc. Based on these indicators, it can then adapt its sell-in offer to the needs of its customer distributors.