Manufacturers need great distributors and great distributors need great manufacturers, especially when the line between B2B and B2C keeps blurring. On this conversation of Darn Good Distributors, host Kyler Nixon sits down with Jonathan Costa from Rex-Cut Abrasives to highlight the relationship between a manufacturer and its distribution network.

ㅤ

Jonathan shares how a full scale abrasive manufacturer with around 10,000 SKUs structures a business that is roughly 90 percent distribution and 10 percent limited B2C e commerce for mom and pop shops, garage guys, and hobbyists. He talks about distributors who are committed to finding the best solution for their customer, service that feels like a first name relationship, and why education over promotion matters in the abrasive world.

ㅤ

Kyler brings the distributor perspective on product data, pricing, and big contracts, and both sides talk honestly about morals, ethics, quantity limits on web stores, and why everyone has to work together for the benefit of the customer.

ㅤ

Jonathan Costa represents Rex-Cut Abrasives, an abrasive manufacturer that has been in business since around 1920. Jonathan describes Rex-Cut as a full scale, full service abrasive manufacturer known for cotton fiber abrasives, grinding wheels, cutoff wheels, non woven products, and high quality niche solutions for aircraft, aerospace, automotive, and other applications.

ㅤ

Working with roughly 400 to 500 distributors and a smaller B2C web store, Jonathan focuses on relationships, service, education, and solving problems for end users while respecting long term distribution partnerships in both B2B and B2C settings.

ㅤ

• Why the relationship between manufacturers and distributors matters and how that ecosystem should look when manufacturers sell primarily through distribution
• How Rex-Cut Abrasives reaches roughly 90 percent B2B distribution and 10 percent B2C through a limited web store, Amazon, and other supplier partners
• What makes a good partnership from the manufacturer side, including distributors who are committed to finding the best solution for their customer even when a current process already works
• Service as a differentiator, including answering the phone, dropping by shops, first name relationships, outside sales reps, and distributors who go to bat for a manufacturer
• Why Jonathan and his team focus on education over promotion, using distributor trainings, product composition, tips and tricks, YouTube, LinkedIn, video, photo, and content
• How product specs like size, grit, grain type, bonds, and clear data help distributors avoid incomplete product data sheets and support customers who need to fit a product to a machine, part, or job
• Frustrating moments when manufacturers and distributors compete for the same customer, including examples of lower direct pricing and big contracts that damage trust
• How quantity limits on a B2C web store, respect for the line in the sand, morals, and ethics help balance B2B distribution and B2C e commerce
• Closing thoughts on distributors and manufacturers working together, holding integrity high, communicating clearly, and driving value for the customer

ㅤ