It may be a better strategy to find a distributor first who can help you to get your products in smaller chains or individual stores, and then help you to get to the big names. Or to start online.
In this article you will find more information on the retail market and guidance on how to convince retailers and distributors to work with you.
Morocco is one of the further developed African countries, with an estimated population of around 37 million people, reflecting a blend of Arab, Berber, and African influences.
The Moroccan economy, with an absolute GDP per capita of approximately $3,400 USD as of 2023, is diverse and growing. The main economic drivers include agriculture, tourism, and manufacturing. Agriculture, particularly the cultivation of cereals, olives, and citrus fruits, plays a significant role in the rural economy. Tourism is also crucial, with Morocco’s historic cities, Mediterranean and Atlantic beaches, and mountain ranges attracting millions of visitors annually. Moreover, the manufacturing sector, especially textiles, automotive, and aerospace, is expanding rapidly, driven by foreign investment and government initiatives.
Morocco’s economy is also characterized by its import activities. The most imported products include crude petroleum, textile fabrics, telecommunications equipment, wheat, gas and electricity, and motor vehicles. These imports are essential for supporting its industrial activities and meeting consumer demands.
Key cities in Morocco include Casablanca, the economic and business hub of the country; Rabat, the political capital; Marrakech, known for its historic medina and vibrant tourism industry; Fes, famous for its ancient walled city; and Tangier, a strategic port city on the Strait of Gibraltar. Each city contributes uniquely to Morocco’s cultural and economic landscape, making it a diverse and dynamic country.
The best preparation for doing business in any country is visiting it. This way you can experience the culture, check the shops and build your network.
Where it comes to hotels, research shows that if you check these platforms, in 80% of the cases you have the lowest room rates.
If you have a consumer product that you can’t sell directly from your home country to your end customer, you need at least one step in between. This can be a distributor (who also acts as wholesaler or importer), a big retailer directly, or it can be a large web shop. Let’s look at the pro’s and con’s of each option.
Distributors are risk averse, they know the portfolio they have and tend to be happy with it. They can’t just add a product or service to their range, since it will cannibalize on others:
I always put a lot of emphasis on drafting a good distributor pitch. Even if you already have great sales materials for your end-users, this often does not make clear what the benefits are for a potential agent, distributor or retailer to work with you.
When you approach potential sales channels with your standard documentation, chances are high that they are holding of. If you make it crystal clear what are the benefits for them, like in the example presentation, you will get a much higher response rate.
Please note that it helps to put concrete data in your presentation. You may think it is sensitive, but just know the secret is in how you achieve the rotation or the low returns level, not in the data itself. So share it here, in order to get the right attention.
Be well prepared. All retailers expect you to prove why they are going to make more money with your product than with their current assortment. So you must know the competition.
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