Two Types of Distributors Sage Intacct Works For

Two Types of Distributors Sage Intacct Works For

Sage Intacct is a leading provider of cloud financial management software to wholesale distributors. There can be several differences among wholesale distributors, depending upon the products they deal with, but there are a few similar characteristics of every distributor.

These characteristics are:

1) buying bulk goods from manufacturers and selling to retailers or distributors

2) drop shipping directly to customers

3) performing light assembly before shipping

Big Money

In recent years, large corporations such as Amazon have got into wholesale distribution, giving small and medium wholesale distributors stiff competition.

These corporations have better automation systems that will reduce costs and time. The smaller distributors will need to add more value to their services to survive.

Intacct’s Specialty

Sage Intacct works with finished good distribution for electronic components, housewares, and medical equipment. Also any vertical other than those that have compliance issues, or where finance is not part of the initial evaluation process.

Some of the verticals to avoid are pharmaceuticals, chemicals, paint, cosmetics, food and perishable items. Also, manufacturers that require a retail price, by-products, and dynamic pallet sizing and packets.

These target industries can be further divided into segments. Two of the segments that Sage Intacct works with are:

  • Small and scaling distributor
  • Mature distributor needing ecommerce
Small and Scaling Distributor

This is the kind of wholesale distributor that was small for a long time and is now focusing on scaling their business. Typically, they used mostly manual processes when they were small, but as they grow, they realize the need for greater automation in packing, picking, and shipping, and proper inventory management.

Some of the other characteristics of a small and scaling distributor are less than five locations with few inter-warehouse transfers, less than $8M to $10M in revenue, and key volume at less than 100 orders a day. As the business grows, the numbers don’t remain the same. This is when they need help scaling.

Mature Distributor Needing Ecommerce

Mature distributors are the ones that already have automation systems for picking, packing, and shipping in place. The element usually missing is ecommerce, and this need drives them to upgrade their financial system and use cloud storage.

These distributors usually have less than $100,000 square feet of warehouse space, less than 500 orders a day, and less than $50M in revenue.

Sage Intacct has customized solutions for both industries. Ease of use, competitive pricing, and simplicity in maintenance are some of the features.

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