Beer and Softdrinks Dealership

Question:

What are the requirements to be a dealer of San Miguel Beer & Coke? How much is the initial purchase of the products? Thanks – mrloo2k

Answer:

For a dealership of either Coke or San Mig, you will need a lot of collateral. The amount is based on what area you are applying for. Lets say the area has an estimated sales volume of 5 million pesos a month, you will have to put up 5 million pesos cash or property as collateral. You will need a warehouse, routing trucks, salesmen, pahinante, all depending again on the area you are applying for. It is profitable, but you have to watch out for a lot of things where you can lose money like breakage, pilferage, theft, etc. you have to be 200% hands-on because you willl be handling cash and lots of credit.

I suggest you go to your local distributor and try to see if they can share the discounts with you. These companies outsource their distribution and they give them discounts for it. The distributors obviously go out and distribute the products to 3 channels, tertiary, secondary and primary accounts. So you probably have to go through them to distribute they have their own areas and you cannot encroach.

Tertiary market – sari sari stores, palengke etc. usually COD basis.

Secondary – if memory serves me right it follows the number of cash registers you have I think if you have 2 registers you’re part of this segment already. They also have more volume than the sari sari store and they usually order their goods before delivery.

Primary – these are the key accounts like SM and Robinsons, etc. This is usually a tough market simply because they like to lengthen their payables. If you don’t have working cap for at least 90 days you are going to be in big trouble serving this market.

Most big companies handle the big primary accounts and let their distributors handle the tertiary and secondary channels but the industry i think is changing and total outsourcing of logistics and distribution is being done or considered.

This is a game of operational efficiencies. Your discounts are fixed and it simply caps your earnings. If your expenses are too much you simply lose money. The industry is volume driven, you can make money if you can deliver enough goods at the lowest cost. Very sensitive to fuel fluctuations obviously and the principals are not quick to adjust discounts to cover the fluctuations.

Dealer Financing for San Miguel Beer Dealers

Union Bank and San Miguel Corporation launched a dealer-financing program. San Mig Line, as the product is called, was specifically designed by UnionBank to address the growing working capital requirements of SMC Beer Dealers’ to serve their franchise areas.

With the program already in full swing, we expect most of their dealers to benefit from San Mig Line. The roll out will be done in batches depending on the dealers’ franchise areas.

For more information, contact:

Ms. RB De Guzman – Investor Relations Manager
San Miguel Corporation
40 San Miguel Avenue, Mandaluyong City
Tel:  (02) 632-3752
E-mail: [email protected]
Web: www.sanmiguel.com.ph

sources: from posters of entrepreneur.com.ph message boards

Comments

  1. By Zairah Sale

    Reply

  2. By reinne

    Reply

  3. By Jomel Loza

    Reply

  4. By Mary grace dolendo

    Reply

  5. By Ma Imelda D. POntillas

    Reply

  6. By Katie

    Reply

  7. By mhel abugan

    Reply

  8. By jobeth

    Reply

  9. By Joy Diamante

    Reply

  10. Reply

  11. Reply

  12. By She

    Reply

  13. By Joenalyn MOntiel

    Reply

  14. Reply

  15. By Hannah Reyes

    Reply

  16. By Jay-R Anicete

    Reply

  17. By aya

    Reply

  18. By Ren Montano

    Reply

    • By ranjit

      Reply

      • Reply

  19. By ashley

    Reply

  20. By neth

    Reply

    • By aya

      Reply

  21. By Rosalie ybañez

    Reply

  22. By hector rarugal

    Reply

  23. By Ronald Bustamante

    Reply

  24. By Mitch ayen

    Reply

  25. By kehaora

    Reply

  26. By SF Variety

    Reply

  27. By Mon valenvalena

    Reply

  28. By Mon valenvalena

    Reply

  29. By BON BARLONGO

    Reply

  30. By Fev

    Reply

  31. Reply

  32. By llehm

    Reply

  33. By Adolfo Nelson Maddumba jr

    Reply

    • By jeaniffer medina

      Reply

      • Reply

        • By Maia

          Reply

  34. By rachel

    Reply

  35. By Joel

    Reply

  36. By Anette

    Reply

  37. By Gemma ricalde

    Reply

  38. By Coco tejaro saldivar

    Reply

  39. By hydee Manansala

    Reply

  40. By russel bernie

    Reply

  41. Reply

    • Reply

  42. By Saroj

    Reply

  43. By JEROM CRISOLOGO

    Reply

  44. By Graciano Lasorte

    Reply

  45. By Joyce Ann Tshering

    Reply

  46. By Ferdie

    Reply

  47. By joel c. gicana

    Reply

  48. By hazel

    Reply

  49. By mikelle

    Reply

  50. By bong

    Reply

  51. By ian

    Reply

  52. By Marilyn Patilla

    Reply

    • By Allan

      Reply

  53. By Corazon

    Reply

  54. By Reda Rose M Nucasa

    Reply

  55. By judy

    Reply

    • By Pepsi

      Reply

      • By lei

        Reply

      • By Michael

        Reply

      • By Marites Pernia

        Reply

  56. By ley

    Reply

  57. By angelo ugalde

    Reply

    • By Allan

      Reply

      • By Hazel

        Reply

      • By Juvy Caspe

        Reply

  58. By Jomel Loza

    Reply

  59. By jomel loza

    Reply

  60. Reply

  61. By jonally zara dela rosa

    Reply

  62. By Nelven N. Velasco

    Reply

  63. By Nitin Netanrao

    Reply

  64. By liezl agcopra

    Reply

  65. By MD NEMATULLAH

    Reply

  66. Reply

  67. By Roy del Valle

    Reply

  68. By mutya

    Reply

    • By kora

      Reply

    • Reply

      • By Zach

        Reply

  69. By dionisio d placheta jr

    Reply

  70. By dionisio d placheta jr

    Reply

  71. By rommel bahani

    Reply

  72. By mariz

    Reply

  73. By lynne

    Reply

  74. By kris

    Reply

  75. By chean

    Reply

  76. By Rhen.malate

    Reply

  77. Reply

    • By Genaro

      Reply

  78. By L. Santos

    Reply

  79. By dhan

    Reply

  80. By angelo ugalde

    Reply

  81. By Genaro Cabaddu

    Reply

  82. By Emerie

    Reply

  83. By Emerie

    Reply

  84. By BELINDA tabada

    Reply

  85. By Luz m. Cuizon

    Reply

  86. By Luz m. Cuizon

    Reply

  87. By Eva

    Reply

  88. By elvira austria

    Reply

  89. By Jean rose salan

    Reply

  90. By dj

    Reply

  91. By Rhona

    Reply

  92. By Joy

    Reply

  93. By Romulo Polinar

    Reply

    • By Edward Christhel M. Fabian

      Reply

  94. By Charlene

    Reply

  95. By aris

    Reply

  96. By andrea vitug

    Reply

  97. By arnold Z. Tibe

    Reply

  98. By Frances

    Reply

  99. By eves

    Reply

  100. By Corazon Anito

    Reply

    • By Rj

      Reply

  101. By Rowell M. Panganiban

    Reply

  102. By Jocelyn

    Reply

  103. By Arwyne Arcega

    Reply

  104. By jimmy

    Reply

  105. Reply

  106. By Josie Jamilla

    Reply

  107. Reply

  108. Reply

  109. By romeo timog

    Reply

  110. By clarita r. rino

    Reply

  111. By rp cuico

    Reply

  112. By Sherlyn guia

    Reply

  113. By richard sinag

    Reply

  114. By elsie agacer

    Reply

  115. By elsie agacer

    Reply

    • By jhulzham

      Reply

  116. By j-art

    Reply

  117. By romel

    Reply

  118. By Justin

    Reply

  119. By Dampa De Paseo

    Reply

  120. Reply

  121. By LORIE

    Reply

  122. By dennis mendoza

    Reply

    • By kjell

      Reply

  123. By Francisco pangan

    Reply

  124. By Jaqueline guana

    Reply

  125. By darline sabelino

    Reply

  126. By Mike

    Reply

  127. Reply

  128. Reply

  129. By Anthony

    Reply

  130. By boy

    Reply

  131. By Angelito S Calwit

    Reply

  132. By Charles

    Reply

  133. By Charles

    Reply

  134. By Racquel

    Reply

  135. By Rannel

    Reply

  136. By Ruby Belarmino

    Reply

    • By Rannel

      Reply

  137. By danny

    Reply

  138. By Eddie Omido

    Reply

  139. By Mayette

    Reply

  140. By ella

    Reply

  141. By annabelle t. crisostomo

    Reply

  142. By eric jurado

    Reply

  143. Reply

  144. By JETHRO MERCHANDISING

    Reply

    • By catherine

      Reply

    • Reply

    • By Shamei

      Reply

    • By Edna Lim

      Reply

  145. By alex

    Reply

  146. Reply

    • By Manny Flores

      Reply

    • By arlene mangaban

      Reply

    • By Rener

      Reply

  147. By glyn

    Reply

  148. By nikko cabiso

    Reply

  149. By William Mallari

    Reply

  150. By Vincent

    Reply

  151. By venie

    Reply

  152. By venie tenepere

    Reply

  153. By Julieta T.Tsuda

    Reply

  154. By Aljohn

    Reply

  155. By Raffy

    Reply

  156. By elmer rivera avinante

    Reply

  157. By anorev

    Reply

  158. By greg

    Reply

  159. By Bryan kim

    Reply

  160. Reply

    • By Racquel

      Reply

  161. Reply

  162. By teresita gameng

    Reply

    • By meann d

      Reply

  163. By ️Willnorm & Norma TUBIANOSA

    Reply

  164. By Xavier Sam Capitli

    Reply

  165. By jay lee

    Reply

  166. By alfie

    Reply

  167. By jeri

    Reply

    • Reply

  168. By ariel espital

    Reply

Leave a Reply

Your email address will not be published. Required fields are marked *

Comment moderation is enabled. Your comment may take some time to appear.