Commercial Crowbar › Frameworks › Distribution Readiness Model™
Authority Framework
A structured assessment for determining whether a company is ready to scale through distribution partners — and what needs to be in place before approaching them.
Definition
Distribution readiness is the state in which a company has the commercial infrastructure, product clarity, margin structure and support capability required to onboard and activate distribution partners successfully. Most companies approach distributors before they are ready — which wastes the approach and damages the relationship for future engagement.
The Problem
Distribution partnerships fail at a high rate. Not because the product is wrong or the market is absent, but because the company approaching the distributor has not done the internal work first. Distributors are commercial operators. They will only commit to a new product line if the economics are clear, the support is defined and the risk is manageable. Approaching without these in place generates polite rejections — and often closes the door permanently.
The Framework
Step 01
Can the product be sold through a channel with sufficient margin for the distributor to be commercially motivated? The distributor needs to make money. If the margin structure does not support this, distribution will not work regardless of product quality.
Step 02
Is there a defined price list, terms of trade, order management process, returns policy and support structure? Distributors need operational certainty before they commit. Vague commercial terms are a rejection signal.
Step 03
Is there evidence that the end market exists and is accessible through the proposed distribution channel? Distributors are not market development vehicles. They distribute proven demand, not create new demand.
Step 04
What training, marketing support, co-op funding and sales enablement will the company provide? Distributors allocate their shelf space and sales capacity to products that come with support. Those that do not get deprioritised.
Step 05
Score the company against each dimension. Identify the gaps. Address the gaps before approaching distributors. A company that scores 3/5 should not be in distribution conversations yet.
Apply This Framework
48-hour structured diagnosis. Written action memo. 30-minute review call. USD 995.
Or book a confidential call first.
Implementation Checklist
Score less than 5/7? A Commercial Assessment will identify exactly which items are missing and what to do about them.
Common Mistakes
Distributors are not venture capitalists. They do not take bets on unproven products. Approaching without sales data, customer references or market validation is rejected immediately.
If the retail price, cost of goods and required distributor margin do not produce a viable number for the distributor, the conversation will not progress. This must be modelled before approaching.
A distributor who asks 'what support do you provide?' and receives a vague answer will not commit. The support package must be defined and budgeted before the first conversation.
Not all distributors serve the same customer segments. Targeting a mass-market distributor with a premium product, or vice versa, signals that the company does not understand the channel.
FAQ
Distribution readiness is the state in which a company has the commercial infrastructure, product clarity, margin structure and support capability required to onboard and activate distribution partners successfully. Most companies approach distributors before they are ready — which wastes the approach and damages the relationship for future engagement.
CEOs, founders, commercial directors and operators who are responsible for commercial outcomes and need a structured framework for addressing model-related challenges.
The Commercial Assessment diagnoses which frameworks are most relevant to your specific situation. If the Distribution Readiness Model™ is the right tool for your commercial problem, the Assessment will identify this and define how to apply it.
Applying the framework to a specific commercial situation typically takes 2–4 weeks for diagnosis and planning, and 30–90 days for execution depending on the scope.
Related Frameworks
Apply This Framework
48-hour structured diagnosis. Written action memo. 30-minute review call. USD 995.
Or book a confidential call first.