Copyright 2006 Jorge Olson Direct Store Delivery is one of the most important terms in the Wholesale Industry, especially in Wholesale Distribution. It means that you distribute to retail stores one at a time. Wholesale Distributors, Retailers, and Manufacturers have to familiarize themselves with how DSD works because most accounts, category buyers, and anyone who? Direct Store Delivery or DSD means that a distributor sells and provides store by store, halting at each store or accounts to drop products and sometimes even merchandise those goods. If you drop ship or ship to one location just like a distribution center you are not a DSD distributor.
If the distributor does a good job, the dealer will be fully stocked with product at all times always. Well, if you are a small distributor it is not a huge deal really. If you are a one-man procedure or distribute in one city, you will have no issues with DSD and don probably?
Now, if you land a sizable retail chain on the other hands, chances are they will be all around the state or all over the country. Now imagine how big of a deal it is. This is why retailers love DSD, but manufacturers prefer to provide truck loads to 1 central warehouse location.
There is a big investment with DSD. DSD. This can take a few months or years if you already have the retail accounts prearranged even. I love to break up DSD distributors into 2 major categories, Full Service, … Read more