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22THE ROLE OF MARKETING STRATEGIES IN THE DEVELOPMENT OF
WHOLESALE TRADE
Kholmamatov Diyor Haqberdievich
Independent Researcher of SamIES, PhD e-mail: xolmamatov_d@mail .ru
Abstract: this article focuses on current issues in the activity of wholesale trade. In particular, the application of marketing strategies in wholesale trade, the strategies of business entities engaged in wholesale trade activities are highlighted. Marketing strategies are proposed for business entities operating in the wholesale market of Uzbekistan.
Keywords: wholesale trade, marketing strategies, strategic marketing planning, demand generation, sales promotion, brokers and agents.
Introduction
In Uzbekistan, a number of activities are being carried out to create a competitive environment in the goods and services market, gradually reduce monopoly, reduce state participation in the economy, further develop and liberalize the economy. In this regard, the "Strategy for the development of competition in commodity and financial markets in 2020-2024", approved by the Decree of the President of the Republic of Uzbekistan No. PF-6019 of July 6, 2020, serves as an important legal document.
The formation of free market relations in the market of goods and services of Uzbekistan, operating on the basis of market mechanisms makes the issue of improving wholesale trade more urgent. Now, business entities engaged in wholesale trade are required to effectively use marketing strategies in the conditions of a free competitive market. The wholesale trade of consumer goods consists of wholesale trade organizations and enterprises operating in a complex competitive market. In such conditions, every wholesale trade organization and enterprise should use marketing strategies to run a successful business.
Analysis of literature on the topic
A number of works of foreign experts on the practice of developing marketing strategies deserve recognition. There are analytical methods that are the basis for developing marketing strategies. In particular, the BKG matrix is widely used as a tool for strategic analysis and planning in marketing. Boston Consulting was created by Bruce D. Henderson [7], the founder of the group, to analyze the growth of the demand for the company's products and the market share of the company.
Today, the development of marketing strategies based on the use of the BKG matrix is reflected in the scientific research of many marketing specialists. F. Kotler, a famous marketing expert, has conducted extensive research on the theory of BKG matrix, its application in economic sectors and fields in his scientific research [6]. Famous Russian marketing expert Golubkov E.P. in his scientific research, he
conducted extensive research on the practical application of the BKG matrix in enterprises, sectors and industries of the country's economy [3].
The theoretical and practical aspects of the BKG matrix were also highlighted in the scientific research of our local scientists A.Sh.Bekmuradov, Sh.J.Ergashkhodjaeva [4].
It is the issue of developing marketing strategies in wholesale trade that can be seen in the scientific research of E.A. Golikov, a Russian specialist dealing with the problems of wholesale trade [3].
A. A. Fattakhov, one of the local scientists, conducted scientific research on the application of marketing strategies in wholesale trade, and justified the fact that marketing strategy is a means of influence of wholesalers on consumers and the practice of using matrix methods [5]. Also, L.A. Abdukhalimova's research also explored the role of marketing strategies in the development of services, including trade [2].
Based on the methodology of the above scientific research, the issue of applying marketing strategies in wholesale trade is covered.
Research methodology
The strategic directions of the development of activities of wholesale trade organizations and enterprises operating in the wholesale trade market of Uzbekistan were considered. The methods of monographic observation, abstract-logical thinking, and scientific observation were used on the role of marketing strategies in wholesale trade.
Analysis and results
Strategies used in wholesale trade take into account its characteristics. Wholesale marketing has its own characteristics. As a rule, wholesale bases sell goods in very large quantities not for final consumption, but for later sale. They serve large areas (a large city or several administrative regions). Wholesale databases have several features that differ from those of retailers. In particular, they act as intermediaries between manufacturers and retailers, convert the production range into sales, pack and store goods and actually continue the production function.
The priority tasks of marketing for wholesale bases are: market research (regional, republican, commodity), market forecasting, strategic marketing planning, demand formation and sales promotion. Distribution marketing departments use information about the market that is slightly different from that obtained in retail. If in retail trade this information is mainly obtained directly from consumers and buyers, in wholesale trade this information is usually secondary (a collection of statistical reports, Internet materials, budget statistics, departmental materials, network materials, etc.).
Wholesalers. Private companies that own the goods they work on. Depending on the field of activity, they can be called wholesale, distributor, trading houses.
Including:
Wholesalers with full service cycle. They provide a full range of services: stock keeping, sales staff, credit, delivery, management assistance. Wholesalers
primarily interact with retailers and deal with multiple product groups. Industrial distributors sell goods not to retailers, but to manufacturing companies that provide services such as credit and delivery.
Limited Services Wholesalers. Make contracts with a limited range of the most popular products, sell them to small retailers for cash. Travel wholesalers specialize in selling a limited assortment of perishable goods to supermarkets, small grocery stores, hospitals, restaurants, and hotels. Wholesale brokers work in industries characterized by large volumes of goods - coal, wood processing, heavy machinery. Take ownership of the goods, risk from the time the order is received until the delivery is completed. Wholesale exporters serve food and non-food retailers. Catalog wholesalers distribute their catalogs to retail, manufacturing, and non-manufacturing organizations. Completed orders are sent to customers by post, rail, air or road.
Brokers and Agents. Their main task is to facilitate buying and selling, for which agents receive a commission of 2-6% of the sale price. Specializes in specific product lines or customer types. Brokers bring buyers and sellers together and help negotiate. The hiring party pays the broker's fee. Usually they work in food trade, real estate, insurance companies services. Agents represent buyers or sellers more consistently than brokers.
Branches and offices of manufacturers and retailers. In this case, transactions related to wholesale trade are carried out directly by sellers or buyers of goods. Independent wholesalers do not participate in them. The buying and selling functions are performed by various branches or offices of the supplying companies.
Specialized wholesalers. A number of sectors of the economy have their own specialized trade organizations. Wholesalers - collectors of agricultural products buy them from several farmers in these cooperatives, etc.
Strategies used in wholesale trade can be seen at three levels:
Company strategy:
Business strategy or development strategy, its main elements are the field of activity (industry, product range, vertical integration / diversification opportunities), competitive positions, mission, strategic goals, tasks, functional strategies, criteria for evaluating the achievement of planned goals. indicators
Marketing Strategy:
A functional strategy that includes all the key elements of a basic marketing strategy: specific target market strategies, the marketing mix to be used, and marketing costs. Strategies developed for each market segment must consider new and emerging products, pricing, product promotion, product delivery, and the strategy's response to market risks and opportunities.
Trading Strategy:
Operational strategy, its main purpose is to concretize the sales marketing strategy.
Figure 1. Strategies used in wholesale business
Wholesale trade focuses on sales strategy. The wholesale sales strategy determines the following: the principles of creating an organization, intermediate storage warehouses, showrooms; distribution channels; organization of transportation; loading and unloading operations; logistics issues, procurement system, ensuring the efficiency of product distribution. As part of the sales strategy, these issues are considered as a set of actions from the time the product enters the commercial organization from the producer to the consumer's purchase.
This description does not cover the sales forecast. Sales forecasting is the process of developing a market forecast, which first plans the future sales volume in the market, and then calculates the share of the company from the suppliers. From this point of view, the sales strategy of a wholesale company is a set of targeted actions carried out in the field of selling goods to ensure the compatibility of decisions made with internal opportunities and the external environment. Based on this, the economic essence of the sales strategy can be distinguished.
There is a distance between the producer and the consumer, which is expressed in ignorance of every aspect of the means and needs of the opposite party; in the mismatch between the quantity of goods offered by one party and the needs of the other party. Thanks to the sales strategy, the consumer gets the goods and services at his disposal at the right place, at the right time, in the right amount.
The main goal of the sales strategy for a wholesale company is to create all the conditions necessary to ensure the maximum volume of financial and economic activity and to achieve the maximum share of a certain product in the market.
This goal defines the following tasks that must be solved within the framework of the formation of a wholesale trade strategy:
1. To ensure continuation and change of production activities.
This means that the sales strategy should aim not only at the most efficient sale of goods, but also at providing additional consumer opportunities for the manufactured goods or services, starting and supporting the release of new products.
2. Control and management of sales: organizations must provide for all contingencies that may arise in the implementation of financial and economic activities directly related to the production and sale of a certain product.
3. Implementation of principles of competitive advantage for all goods sold.
4. Orientation of sales strategy and adherence to commercial interests (development of the most effective directions of wholesale activity).
The implementation of the above tasks is possible by observing the general and uniform principles of the implementation of the sales strategy for all structural divisions of the wholesale organization.
Conclusion
Based on the important tasks facing wholesale trade organizations and enterprises operating in the market of Uzbekistan, it is necessary to apply the following strategies:
1. Strategy of entering world markets. Direct and indirect export, licensing, establishment of trading houses in foreign markets. For example, Uzbek wholesale companies operating in the field of textile products, fruits and vegetables, processed fruit and vegetable products, copper and copper products are carrying out their activities to neighboring countries, South Asia, China, Turkey and, in recent years, the countries of the European Union.
2. Strategies to achieve better results while reducing costs. Wholesalers are investing in new technologies such as bar coding and scanning systems, automated warehouse complexes, electronic data exchange systems, and advanced information technologies.
3. Quality management strategies. Wholesale companies strive to manage all processes, including the evaluation of the quality of goods received from suppliers, and therefore increase their value for customers. Thus, distributors gradually reduce errors and defects, strive for "zero defects" in customer service.
4. Marketing support strategies. Wholesalers understand that their role in marketing channels is not limited to representing the interests of suppliers or their customers. Wholesalers find it necessary to provide marketing support to both, to promote sales.
References
1. "Strategy for the development of competition in commodity and financial markets in 2020-2024" approved by the Decree of the President of the Republic of Uzbekistan No. PF-6019 dated July 6, 2020
2. Абдухалилова Л. (2021). Роль маркетинговых стратегий в развитии сферы услуг. Экономика и образование, (5), 159-163.
3. Голиков Е.А. Маркетинг и логистика - новые инструменты хозяйствования. - М. : Издательство «Экзамен», 2006. - 220 с
4. Ergashkhodjaeva Sh.J., Qosimova M.S., Yusupov M.A. Marketing. Textbook. -T .: Economy, 2018. - 315 p
5. Fattaxov A.A. Improving marketing strategies in wholesale trade. Written abstract for the dissertation. Tashkent, 2006
6. Philip Kotier, Kevin Lane Keller. Marketing Management. Pearson Education, Inc., publishing as Prentice Hall, United States of America 2012 y.
7. Henderson Bruce D. Product portfolio // BCG Review: digest. - M .: Boston Consulting Group, 2008. - Issue. 02. - S. 7-8.
