Redundancy in Legacy Distribution Channels Vs Online Distributors

The success of online retailers like Amazon and Cabela’s is readily acknowledged by consumers on a yearly basis. The retail giants provide well known products at competitive prices. In many cases they are able to sell merchandise at prices far below those of local electronics and sporting goods retailers.

While these are 2 of the more well known online retailers, there are literally millions of web based merchants selling their products online today. These companies can offer many of the same benefits in pricing, which can directly be attributed to their lack of exposure to the salaries and expenses of sales staff, retail space, and in some cases warehouse space.

In many cases the biggest benefit can be found in little known companies which market little known but oft use products. I will use Stretch Wrap as an example. Stretch Wrap or Stretch Film is a product that will almost certainly be used or impact the distribution and sale of all other products during their production and sales life cycle. For example, a manufacturer builds widgets for Wal-Mart:

1. He first unpacks his raw materials from pallets wrapped in stretch film.
2. The manufacturer completes the end product and secures his merchandise on pallets with pallet wrap for delivery to the designated Wal-Mart distribution Center.
3. The Wal-Mart distribution center breaks apart the pallets as needed and repacks for delivery to retail centers as needed.

Here we see a product that is used extensively in the manufacturing and distribution process of nearly all products. One would assume that it is a well known product that could be purchased directly much like the well known electronics available from Amazon.com, but this is not the typical type of procurement for such key product.

Products like Stretch Wrap still tend to be procured via legacy sales channels that include a great number of redundancies, overhead, and markup. While there are online retailers willing and able to provide the same merchandise factory direct, most are not willing to leave their relationship with a salesman and or established wholesaler. Let’s take a look at the typical life cycle for a Stretch Wrap product.

1. A master distributor identifies inventory need for upcoming or anticipated sales.
2. The manufacturer receives an order for 20 pallets of Stretch Film for a Master Distributor
3. The manufacturer completes the order and deliver to the Master Distributor
4. The Master Distributor receives orders from smaller distributors or those with retail outlets
5. The smaller distributors and retail channels fill customer orders directly from their available stock of product.

Let’s assume that a standard profit margin for each step of the process is a minimum of 20% and the manufacturer original price is $25. By the time you place your order the retail price is $36 not including any additional charges related to redundant shipping and carrying costs which could have been provided factory direct.

Much like my comparison between Cabela’s and your local sporting goods outlets, salesman and retail distributors of Stretch Films can provide a certain level of service, and customer support that is often hard to accomplish via the web or phone. However, once you’ve identified the right product to fill your needs, it’s the same product over and over again. Why pay more?

Yet another pitfall to avoid in the online procurement of Stretch Wrap products can clearly be identified in price. Many online retailers are already receiving their product far along in the “Legacy” distribution lifecycle I portrayed above. Companies like Grainger, Office Max, Office Depot, etc. will all sell these products on their respective sites at a significant mark up. This is likely due to their lack of direct engagement with the manufacturer and inability to ship factory direct.

How to Get Started With Sports Betting

Sports betting is simply placing a wager on a sporting event. You are betting that your team, horse, dog, or driver will win. If they do win, so do you! If they lose, you lose your bet amount. Sports betting takes place all over the world, though in the United States this type of betting is not as highly accepted as it is in Europe.

Online sports betting is probably the best option for those who are interesting in trying it for the first time. If you have never tried online sports betting, you are missing so much fun and excitement, and it can all happen in the comfortable surroundings of your home! The art of sports betting can seem confusing at first, but once you are familiar with some of the jargon that is used to explain the concepts and logic behind each type of bet, it is all much easier to understand.

One of the best ways for you to experience this engaging way to bet on your favourite racing and sporting events is to get acquainted with online sports betting. However, in order to best take advantage of all that sports betting has to offer, you need to know a little more about it.

Sports Betting – The Odds

How does online sports betting work? You should start by studying the odds for the sporting event you are most interested in placing a wager upon. When using online sports betting, you can find these odds in the various online sports books used by Internet gamers everywhere. You must open an account with an online sports book before you can place your bet, but this is simple to do.

Once you have chosen where you are going to do your sports betting, you need to decide how you are going to place your bet. There are many different ways for you to wager your chosen amount of money, but first, let’s talk about the spread and how it can affect the amount you bet.

Sports Betting – The Spread

The spread is a point advantage in sports betting, which is usually given to the team that is generally expected to lose a particular sporting event. If you decide that you will bet on the team that is expected to win, they will have to win by more than the spread number and cover the spread before you are considered to have chosen correctly. If you choose the team that is expected to lose, that team will have to lose by less than the spread number in order for your pick to be considered correct. If by chance the team wins by the number of points that were chosen as the spread, the game is called a push.

No one who engages in sports betting wins a thing if a game is called as a push, but you do get the amount of your original bet back. The point spread is done in order to make the all of the bets come out even for the sports book, and is usually done for sports such as basketball or football.

Sports Betting – The Bet

If you were to bet against the spread, most likely you would place a type of bet called an 11-10, or spread bet. By betting $11, you win $10 if your team’s score covers the spread. This is another way that the online sports book makes its money.

An over-under bet is also an 11-10 bet. With this type of bet, the total score of the two teams that played will be either over or under the total score that was listed before the game was played. Betting on the score being over is called ‘betting on the ball’. Betting on the score being under is called ‘betting on the clock’.

A proposition bet is a type of bet where the online sports book chooses what the odds and the conditions of the bet are going to be. This type of bet can be most interesting, even a little fun at times, for the conditions can be as unusual as which of two football teams will make the most touchdowns, which of two basketball teams will score the most three pointers, or even which individual player will make a certain move for the team. The odds for this kind of bet are sometimes 11-10, but can be better or worse depending on the circumstances.

A parlay bet happens when you are betting on more than one event, usually three. This type of bet gives you a much higher payout if you should win, but the catch is that all the events you bet on will have to win. If even one of them loses, they all lose, and you lose the amount that you bet.

A money line bet seems rather formidable, especially to someone who is just getting into online sports betting, but it is really one of the simplest bets of all. It is also called a Straight Up bet, and there is no point spread to consider. You will just choose your sport, and then the team you think will be either the underdog or the favourite. In a money line bet, the sports book will have numbers listed that are in the hundreds, with either a plus or a minus sign beside them. These numbers are considered the ‘money line’, and are the multipliers for the bets.

If the money line for your team is listed as 100, you will make an even bet. This means you will wager the same amount that you will get back. If the money line reads -110, then you must come up with the amount of money you have decided to bet, plus 10%. This extra 10% is known by the name of ‘juice’. If the money line for your team is listed as +110, then you simply place your bet with the amount you choose to bet. If you win a money line bet, you get the amount of your bet plus 10% back. For example, if you bet $10.00 and $1.00 in juice on a -110 money line and it wins, you get $21. 00.

A teaser bet in sports betting is actually a proposition bet that allows you to change the odds for the bet in either direction so that the wager is in your favour. You can go up or down in points, and must choose at least two teams, as is done in a parlay bet. You can have as many as 6 separate teams included on a teaser bet, but all of the teams chosen have to win in order for your bet to be declared a winning one. Once the games are over, the points from the teaser bet are added or subtracted from the final scores. The odds for teaser bets can be different each time, so it is a good plan to always check the sports book before placing your bet.

A tip to remember is that generally, when placing a wager on any sport that can finish with a high score, such as football, you will have a spread. Sports where the ending score is low, such as in baseball will have a money line. Remember also that favourable odds on a game can sometimes work in your favour. Online sports betting allows you to easily go from sports book to sports book to find the best odds.

How Sports Betting Works – Get the Essentials of How Sports Betting Works

Are you an avid sports fan who wants to get into sports betting? Are you wondering how sports betting works? Betting online is an increasingly popular way to wager on sporting events. You can bet on any type of event you can think of, including regular season games and championship games. You can even bet on events such as golf or tennis. The sports that are bet on the most, are football, baseball, and basketball. You can bet on professional or college sports. The possibilities seem endless.

Understanding how sports betting works will help you determine how you should bet and the amount you want to wager. You don’t have to be a fan of a certain sport to bet on it, although it helps to be one. Knowing the statistics of one team or several teams will increase your chances of placing successful bets. Being familiar with key players also helps when making your picks. You might also need to be aware of other outside factors that could affect the game. All of these factors will allow you to place your bets wisely.

Something else to keep in mind when learning how sports betting works is that you shouldn’t bet more than you can afford. You won’t be winning all the time, no matter how carefully you make your picks. You need to make sure that you can deal with the losses. Don’t bet everything you have on one event, even if you’re convinced that the team you’re betting on will win. In reality, you don’t know what the outcome of the game will be. A factor that you haven’t even thought of could surprise you and throw the game in a whole different direction.

Another thing to remember about how sports betting works is that loyalty isn’t everything. You might be leaning towards betting on your favorite team all the time. However, what if they’re more likely to lose than win the next game? Are you comfortable risking your money? There’s nothing wrong with placing your bet on the opposing team. Betting is about choosing the winning side, not picking your own favorite.

Finally, if you do your homework well, your chances of winning increase significantly. Study sports’ statistics and come up with the best picks possible. Then you can watch the games knowing that you’ll have a bit more money in your pocket after the game than you had before. Watching your favorite team play will become even more exciting, even if you bet against them.

But the best thing that you can probably do is to get hold of a system which not just allows one to learn how sports betting works, but also takes you by the hand and demonstrates how you can win most of the times that you indulge in betting. There are quite a few such systems available online and you could easily choose one.