Consider this dilemma:
You develop an innovative software solution.
You undertake to distribute it within a geographical area;
“Do you give exclusivity to one company or do you choose a number of them and keep them competing with each other?”
Not a trick question, I am genuinely interested in the issue.
Having been on the receiving end of an exclusive dealership for quite some time, I’d say that more than one distributor would benefit the client/customer.
There however is the risk of them competing too fiercely for a limited client base, killing each other and the product in the process.
There is a condition present in the life that we live, that has an impact on how we perceive our position within it.
The ability to make a choice.
Whether that is getting up in the morning, wearing particular clothes, listening to specific music or residing in a street, town or country.
Take the choice away and we are powerless, insecure, unhappy.
Look at the retail industry! They spend a lot of effort on maintaining the perception of choice even when there is no real alternative available.
Groceries have been distributed in NZ for the last decade through 2 main monopolies; we still feel that we have a choice of much more providers on offer.
Software developers, don’t underestimate the power of giving a choice!