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Venturing into distribution of products in Nigeria is really a profitable business. This particular business can somehow be divided into 2 major categories based on who you really want to serve.  We have the retail distributor who buys from the wholesalers or the manufacturers and then sell directly to the consumers, and then we have the wholesale distributors who buy from the manufacturers and then resell the products to the retailers and other distributors.

Furthermore, for you to actually succeed and be successful in this business you need to really decide and focus on a particular product or a variety of products. You need to make sure your decision is on a product that is hard to find, actually this will really give you an edge over your competitors thereby giving your business a competitive advantage.

In Nigeria today large companies are served by large distributors, most distributors really find it a bit challenging to serve the smaller, more specialized businesses. One of the ways to actually gain some part of the market share in this business is to try as much as possible to serve some of these smaller specialized businesses.

This business really offers different opportunities for anyone who wants to investor into the business. What you just need to do is to carefully carry out a proper research about your area of concern, and then look for how to cater for your potential customers and watch your business grow.

The following are the factors to consider before starting distribution business in Nigeria;

        1. Write a business plan: You need to draft a business plan that will really lay out the full vision of your new distribution Business. Make sure the plan includes the type of distributor you will be, the kind of products you plan to offer, the name of your distribution company, your target customer base, the shipping method you want to apply, and the general strategy you want to adopt. The strategy you want to adopt should be as simple as focusing on fast and effective service, a more complicated, like mapping out a way to offer specialized products that are not available from other distributors.

       2. You need to estimate your startup cost: Without been told as a potential distributor, one of your single biggest expense will be inventory. This actually means that your startup cost will vary widely depending on what you want to start distributing as a distributor.

      3. You need to think about how you will sell your products: How you will actually sell your products will really depend largely on your target market and customers and what type of products you decide to sell. As a distributor your goal should be to let your potential customers know about your business and what you really offer.

The following are products you can distribute in Nigeria; Cement, beverages, electrical materials, cars and car spare parts, cosmetics, food related products, Etc
What you just need to do is to carry out a proper research and serve your target market well.

Tips on how to start a distribution business in Nigeria

       1. You need to decide what products you want to distribute.

       2. Look for a good Location.

       3. Get the business registered.

       4. Write a business plan.

       5. Make contacts with manufacturers or wholesalers of your Products.

      6. Design a professional website.

      7. Lastly, market your product to your potential customers.

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