How You Can Explode Your Business With A Distributorship Model With Paul Baron
Paul Baron is the founder and chief executive officer of The Wall Printer USA. His decades of business experience span B2B, B2C, retail, manufacturing, distribution, international business, and franchising. Paul has personally developed and launched multiple business concepts and he was able to grow The Wall Printer USA to achieve an explosive growth of having over 50 distributors in 90 territories in just 2 years. Today he shares with us how you can explode your business with a distributorship model like him.
Join us as Paul shares about how he exploded his business with a distributorship model, the incentives he built into the distributorship model to encourage his distributors to work with him in the long run at scale, and how Paul managed to secure co-ownership rights in the Wall Printer from his manufacturing partners.
Resources
https://thewallprinter.com/en/about-company/ – Check out the Wall Printer!
https://www.linkedin.com/in/pbbaron/ – Get connected with Paul!
Key Actionable Advice
1. Unlike a franchise model where franchisee fees are charged and it forces your franchisees to follow a strict model from you, an exclusive distributorship model encourages your distributor partners to be creative and to grow more aggressively (because they don’t have to pay you a portion of their earnings). This allowed Paul to explode his business to be in over 90 territories in just 2 years.
2. Set a reasonable fee for your exclusive distributorship rights and provide your distributors with a discount on the product you are selling to them. By giving them the chance to recoup the fees they initially paid, they will be incentivised to partner with you for the long run and work with you at scale.
3. Patents are important for you to be able to protect your right in a certain product. Always seek to protect your intellectual property rights.
Show Notes
[2.00] Paul is a tennis buff and he started his entrepreneurial journey stringing tennis rackets during his college days and he eventually grew his first store to three stores. He learnt the importance of providing something that a community needed that it didn’t have and has built a career finding interesting and innovative items that can be sold to the masses.
[4.10] Over the years, Paul has worked on baby products, headphones for children with animal characters, and a dog washing system which he has since exited. In all the products, he made sure that the products provided a solution to a specific problem that did not exist in the market.
[8.30] Paul found the idea of the Wall Printer when one of his competitors approached him to help them market the product. He realized that it was something he never saw before because there were only 5 companies in the world who made such printers and was mainly marketed to South East Asia because the machines require maintenance and support and none of these companies wanted to provide that in North America.
[10.20] Paul shares the applications and unique value proposition of the Wall Printer that prints vertically on walls made of cement, glass and tiles and the inks used are weather resistant.
[12.30] Paul grew the Wall Printer to have 50 distributors in over 90 territories in 2 years.
[17.30] Paul was very intention to not set up the business as a franchise. He structured it as a distributorship model where the distributors he partnered with would have the ability to create their own business and brand within exclusive territories (without taking additional fees like franchising fees) to encourage them to grow more while giving them the relevant support. Paul worked on the principle of helping his distributors succeed because the more they succeeded the more machines they would buy from him.
[19.40] To incentive entrepreneurs to become his distributors, he charges them a reasonable fee for exclusive rights to sell the Wall Printer in a territory while giving them a discount in each machine they purchase. After 2 to 3 purchases of the Wall Printer, the distributor will be able to recoup the exclusive distributor rights.
[23.00] By having so many distributors working with him, Paul has the benefit of making the need for market education of the product a lot easier as opposed to him working on it alone.
[25.00] Paul gives his existing distributors the right to first refusal to enter into a near territory and this encourages a stronger relationship between him and his distributors. This model also has the benefit of allowing Paul to know that the expansions into new territories will be done by someone he has experiences with.
[26.00] Paul shares how social media played a crucial role in growing the Wall Printer brand and how it even caught the eye of Elon Musk.
[This transcript has been automatically generated by a digital software and will therefore contain errors and typos. Please kindly take note of this and only rely on the digital transcript for reference.]
How You Can Explode Your Business With A Distributorship Model With Paul Baron
Paul Baron is the founder and chief executive officer of The Wall Printer USA. His decades of business experience span B2B, B2C, retail, manufacturing, distribution, international business, and franchising. Paul has personally developed and launched multiple business concepts and he was able to grow The Wall Printer USA to achieve an explosive growth of having over 50 distributors in 90 territories in just 2 years. Today he shares with us how you can explode your business with a distributorship model like him.
Join us as Paul shares about how he exploded his business with a distributorship model, the incentives he built into the distributorship model to encourage his distributors to work with him in the long run at scale, and how Paul managed to secure co-ownership rights in the Wall Printer from his manufacturing partners.
Resources
https://thewallprinter.com/en/about-company/ – Check out the Wall Printer!
https://www.linkedin.com/in/pbbaron/ – Get connected with Paul!
Key Actionable Advice
1. Unlike a franchise model where franchisee fees are charged and it forces your franchisees to follow a strict model from you, an exclusive distributorship model encourages your distributor partners to be creative and to grow more aggressively (because they don’t have to pay you a portion of their earnings). This allowed Paul to explode his business to be in over 90 territories in just 2 years.
2. Set a reasonable fee for your exclusive distributorship rights and provide your distributors with a discount on the product you are selling to them. By giving them the chance to recoup the fees they initially paid, they will be incentivised to partner with you for the long run and work with you at scale.
3. Patents are important for you to be able to protect your right in a certain product. Always seek to protect your intellectual property rights.
Show Notes
[2.00] Paul is a tennis buff and he started his entrepreneurial journey stringing tennis rackets during his college days and he eventually grew his first store to three stores. He learnt the importance of providing something that a community needed that it didn’t have and has built a career finding interesting and innovative items that can be sold to the masses.
[4.10] Over the years, Paul has worked on baby products, headphones for children with animal characters, and a dog washing system which he has since exited. In all the products, he made sure that the products provided a solution to a specific problem that did not exist in the market.
[8.30] Paul found the idea of the Wall Printer when one of his competitors approached him to help them market the product. He realized that it was something he never saw before because there were only 5 companies in the world who made such printers and was mainly marketed to South East Asia because the machines require maintenance and support and none of these companies wanted to provide that in North America.
[10.20] Paul shares the applications and unique value proposition of the Wall Printer that prints vertically on walls made of cement, glass and tiles and the inks used are weather resistant.
[12.30] Paul grew the Wall Printer to have 50 distributors in over 90 territories in 2 years.
[17.30] Paul was very intention to not set up the business as a franchise. He structured it as a distributorship model where the distributors he partnered with would have the ability to create their own business and brand within exclusive territories (without taking additional fees like franchising fees) to encourage them to grow more while giving them the relevant support. Paul worked on the principle of helping his distributors succeed because the more they succeeded the more machines they would buy from him.
[19.40] To incentive entrepreneurs to become his distributors, he charges them a reasonable fee for exclusive rights to sell the Wall Printer in a territory while giving them a discount in each machine they purchase. After 2 to 3 purchases of the Wall Printer, the distributor will be able to recoup the exclusive distributor rights.
[23.00] By having so many distributors working with him, Paul has the benefit of making the need for market education of the product a lot easier as opposed to him working on it alone.
[25.00] Paul gives his existing distributors the right to first refusal to enter into a near territory and this encourages a stronger relationship between him and his distributors. This model also has the benefit of allowing Paul to know that the expansions into new territories will be done by someone he has experiences with.
[26.00] Paul shares how social media played a crucial role in growing the Wall Printer brand and how it even caught the eye of Elon Musk.
[This transcript has been automatically generated by a digital software and will therefore contain errors and typos. Please kindly take note of this and only rely on the digital transcript for reference.]