Costs of Goods Sold
Distributors are familiar and comfortable with receiving information
from manufacturers on an almost constant basis--product and price
information updates, new product announcements, back order
notices. There are also times when information goes the other
way--from distributor to manufacturer. For a manufacturer,
information from their distributors about who is buying their product
can assist in creating products that meet market demand, uncovering new
applications for existing products and learning what products need to be
taken out of production.
Guidelines for Successfully Sharing Cost of Goods Sold (COGS)
Information
To assist in the sharing of this information, PTDA has created tools
for use by manufacturers and distributors in determining how much
information should be shared, how the data should be provided from the
distributor to the manufacturer and how the data will be used.
Created by a joint task force of PTDA's Industry Relations Committee and
Manufacturer Council, these guidelines emphasize the importance of
making customer data exchange mutually beneficial for distributors and
manufacturers.
Included within the Guidelines are:
- A discussion on why manufacturers want COGS/POS information and why
distributors don't want to provide this information.
- What manufacturers can do to encourage distributors to provide
COGS/POS information.
- Ethical and policy issues related to customer data including model
confidentiality agreements.
- A case study of how the Loctite Industrial Group of Henkel
Corporation uses COGS/POS data.
- Distributor Confidentiality Checklist developed and published by the
National Association of Electrical Distributors (NAED).
- Additional resources on sharing COGS/POS data.
Download "Guidelines for Sharing Cost of Goods Sold
(COGS) Information"
Download the Cost of Goods Sold Data Transmission Format:
Microsoft Excel® format
Adobe Acrobat® format
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