Highlights

  • All India Consumer Products Distributors Federation demands pricing parity with corporate distributors
  • Reliance discount rates from FMCG cos higher than offered to local salesmen

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Why are 4 lakh salesmen are upset with Mukesh Ambani's Reliance?

If pricing-parity demand is not met, the group said in its letter, its salesmen will stop distribution of products to mom-and-pop stores

Why are 4 lakh salesmen are upset with Mukesh Ambani's Reliance?

Losing business as Mukesh Ambani backed JioMart pushes tie-ups and offers deep discounts has left traditional distributors and salespeople threatened.

Reuters reports that All India Consumer Products Distributors Federation - which has 400,000 members - has written to consumer companies demanding a level playing field, saying they must get products at same prices like other big corporate distributors such as Reliance.

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More and more stores were now using the JioMart Partner app to stock up their outlet and availing big discount vs using the traditional route of visiting distributors who was unable to match Jio's discounts.

Calling for a 'Non-cooperation' movement the union of sales people has threatened to stop distribution of products to mom-and-pop stores, and will also hold out on newly launched consumer goods if such partnerships continue beyond Jan 1.

The group has sent the letter of demands of equal pricing to Reckitt, Hindustan Unilever, Colgate and 20 other consumer goods companies reports Reuters.

Frequently Asked Questions

The salesmen are upset because deep discounts offered by Jio's retail arm are hurting local salesmen, leading to a 20-25% drop in their business as they cannot match Jio's discounts.

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