A Device is Not a Product Without the Right Distribution

A new device or invention, no matter how brilliant, will never become a successful product without a proper distribution channel. Distribution is not an afterthought; it is a critical element required to complete the product.

A device can only be transformed into a product if it is matched with a sales and distribution channel that:

1. Serves the right market segment.
2. Has contact with the target customer base.
3. Possesses the specialized skills to sell and support it.

The Consequences of a Mismatch:

• No Sales: If the sales force sells only in New Hampshire and all the customers are in Vermont, you get very few sales. If the channel has no contact with the target customer, the product is invisible.
• Ineffective Selling: If the channel lacks the expertise for the new product, the sales force is reduced to playing "repairman," trying to fix the product to fit the customer's needs in an inefficient, piecemeal fashion.
• Massive Waste: When a mismatch occurs, there is an enormous waste of resources as dozens of field sales offices work in parallel to solve problems that should have been addressed once at headquarters.

A device is just a potential solution. It only becomes a real product when a specialized channel can put it in the hands of the right customers.