Distribution Channels Case Study #2

Tigre

The leader in the pipes, fittings, and accessories sector, Tigre is synonymous with quality, innovation and ethics in business in each of the 10 countries where they operate and in the more than 40 countries that they export to around the world. They have 18 manufacturing plants located from Argentina to the USA, offer complete and innovative product lines, and focus on their relationship with their customers and employees.

Issue

Tigre had traditionally distributed their products through resellers, but wanted to establish a new company-branded store chain. They needed to evaluate several alternatives and identify the most effective method for delivering their world-class products and services through the new stores and redesign their distribution channel flow.

Challenge

The solution needed to reduce competition between retailers and sales agents, increase the company’s profit margins, and guarantee that customers would receive world-class service.

Solution

Addexo was able to assist Tigre to create a business strategy for the new store chain that provided more control over the agents and reduced internal competition.

Results

When Tigre implemented of the new strategy, the company increased its profit margin by 20% and improved client satisfaction by 75%.