It may be a better strategy to find a distributor first who can help you to get your products in smaller chains or individual stores, and then help you to get to the big names. Or to start online.
In this article you will find more information on the retail market and guidance on how to convince retailers and distributors to work with you.
Our local consultant will help you find the right distributors or retailers and convince them to work with you.
The Netherlands is an interesting country to do business in, and can also serve a stepping stone to other European countries
As of 2024, the Netherlands has a population of approximately 17.67 million people. The country is known for its high population density, with about 524 people per square kilometer. The majority of the population is Dutch, with various other ethnic minorities.
The Netherlands boasts a robust economy, ranking as the 18th largest in the world. A significant portion of the EU’s natural gas comes from the Netherlands. The country’s GDP per capita is impressively high at around $48,860, reflecting its economic strength.
Amsterdam, the capital, is the most populous city, followed by Rotterdam and The Hague. The country’s terrain is notably low-lying, with a significant portion below sea level.
Albert Heijn: As of 2021, Albert Heijn led the list with a turnover of €16.4 billion. This retailer, owned by Ahold Delhaize, operated 1,733 outlets as of 2022, with various banners including AH to Go, AH.nl, Albert Heijn XL, and others.
Jumbo: Jumbo secured the second spot with a turnover of €10 billion in 2022. The network of Jumbo included 708 stores.
Lidl: With an estimated turnover of €4.5 billion in 2020, Lidl held the third position. As of 2022, Lidl operated 441 stores in the Netherlands. Lidl is part of the Schwarz Group and has been present in the Netherlands since 1997.
Aldi: Aldi, part of the Aldi Nord group, was fourth with an estimated turnover of €3 billion in 2020. They operated around 500 stores in the country as of 2022.
PLUS: PLUS had an estimated turnover of €5.5 billion in 2022 and operated approximately 550 stores.
The best preparation for doing business in any country is visiting it. This way you can experience the culture, check the shops and build your network.
If you have a consumer product that you can’t sell directly from your home country to your end customer, you need at least one step in between. This can be a distributor (who also acts as wholesaler or importer), a big retailer directly, or it can be a large web shop. Let’s look at the pro’s and con’s of each option.
Distributors are risk averse, they know the portfolio they have and tend to be happy with it. They can’t just add a product or service to their range, since it will cannibalize on others:
Getting your products imported and delivered in a specific country can be a challenge. I have good experience with Tecex, who can act as your importer of record and even physical distributor. If you leave your details, they will contact you.
I always put a lot of emphasis on drafting a good distributor pitch. Even if you already have great sales materials for your end-users, this often does not make clear what the benefits are for a potential agent, distributor or retailer to work with you.
When you approach potential sales channels with your standard documentation, chances are high that they are holding of. If you make it crystal clear what are the benefits for them, like in the example presentation, you will get a much higher response rate.
Please note that it helps to put concrete data in your presentation. You may think it is sensitive, but just know the secret is in how you achieve the rotation or the low returns level, not in the data itself. So share it here, in order to get the right attention.
Be well prepared. All retailers expect you to prove why they are going to make more money with your product than with their current assortment. So you must know the competition.