What are the alternatives before Castrol for expanding their distribution?

What are the Pro’s and

Con’s

1. Invest in extra employees (DSR’s) and delivery units to gain access to local workshops:
a. Pro’s
i. Gain reach to masses from rural population
ii. Advantages of Products can be conveyed in a better manner, as there will be
direct interaction to the end users
b. Con’s
i. Salaries to the tune of 12,000 per month
ii. DSR’e are reluctant to visit people at remote locations

2. Expand Coverage to Spare Parts and Oil shops by providing trade promotions, Sales
Incentives.
a. Pro’s
i. More data customer outreach with existing Distribution base, with no
additional costs
b. Con’s
i. Most of the mechanics buying from existing distributors, are not trustworthy
and generally buy on Credit basis. Also, distributor’s not willing to bear the
additional risks and costs associated to these transactions

3. Castrol being a technological innovation driven organisation, should empower its Sales Force
with GPS enabled Mobile applications for Visit Report tracker and retailer registration
a. Pro’s
i. Metrics pertaining to Retailers, requirements will happen real time
ii. Since data is available real time and get updated periodically, it also helps to
continuously monitor and review distribution at regular time intervals
b. Con’s
i. Costs to introduce and maintenance of the database

4. Focus in development of Retailers in towns with populations less than 5,00,000. Appoint
distributors in cities having population between 0.5 to 1.0 million to cater City’s demand as
well as to strengthen distribution in nearby smaller cities and towns
a. Pro’s
i. More data customer outreach with existing Distribution base, with no
additional costs
b. Con’s
i. Distribution costs get added
ii.