Good To Great.
10 Competencies That Take You From a Good Leader to a Great Leader in the Beverage Industry.
In his book Good to Great, Jim Collins explores what separates truly great companies from merely good ones. He argues that the difference isn’t just strategy—it’s leadership. The best leaders create a culture of discipline, accountability, and long-term vision, driving sustainable success even in highly competitive industries
For those of us in the beverage industry, this principle is especially relevant. As suppliers, we navigate the complexities of the three-tier system, balancing relationships with distributors, retailers, and consumers while ensuring that our brands don’t just survive, but thrive. True leadership in this space means more than just hitting sales goals—it requires adaptability, strong communication, and the ability to drive execution through multiple layers of the industry.
Whether you're an emerging supplier, a seasoned leader, or looking to refine your skills in this space, mastering these 10 leadership competencies will elevate you from being a good leader to a truly great one.
1. Self-Awareness
Recognize your leadership style, strengths, and areas for growth, and continuously work on improving yourself.
Good: A good leader understands their strengths and challenges but may not consistently reflect on how their leadership impacts their distributor and retail partners.
Great: A great leader is deeply self-aware, actively seeking feedback from internal teams, distributor partners, and retailers. They adjust their approach to ensure alignment and long-term brand success.
2. Emotional Intelligence
Understand and manage your emotions and use empathy to connect with distributors and retail partners.
Good: A good leader can control their emotions but may struggle with handling distributor frustrations or retailer pushback.
Great: A great leader navigates difficult distributor negotiations and retail conversations with empathy and professionalism, ensuring all partners feel valued and heard.
3. Visionary Thinking
Set a clear, compelling vision that inspires your internal team, distributors, and retailers to champion your brand.
Good: A good leader has a vision but may struggle to communicate it effectively to distributors and retail buyers.
Great: A great leader creates a clear, scalable brand strategy that aligns with distributor goals, retailer needs, and consumer demand, ensuring long-term market penetration.
4. Communication Skills
Foster open, clear, and strategic communication to strengthen supplier-distributor-retailer relationships.
Good: A good leader communicates clearly but may lack follow-through or fail to adjust messaging based on the audience (distributors vs. retailers vs. consumers).
Great: A great leader tailors their communication to distributors (focusing on execution and logistics), retailers (emphasizing value and consumer demand), and internal teams (ensuring brand consistency).
5. Adaptability
Be agile in responding to market trends, distributor needs, and changing consumer preferences.
Good: A good leader can adjust to changes but may struggle when distributors shift priorities or new compliance laws affect distribution.
Great: A great leader stays ahead of industry shifts, proactively adjusting go-to-market strategies, distributor programs, and retail activations to drive sales despite challenges.
6. Decisiveness
Make informed, confident decisions that keep your brand, distributor, and retail partners aligned.
Good: A good leader can make decisions but may hesitate when facing slotting fees, pricing structures, or distributor commitments.
Great: A great leader makes strategic, data-driven decisions, balancing brand positioning, distributor incentives, and retailer margins to maximize brand growth.
7. Integrity
Lead with honesty and transparency, building trust with distributors, retailers, and consumers.
Good: A good leader maintains integrity but may avoid difficult distributor conversations about performance or brand priorities.
Great: A great leader establishes clear expectations with distributor partners, ensuring accountability and ethical business practices at all levels.
8. Empowerment
Equip your team and partners with the resources, autonomy, and confidence to grow your brand within the three-tier system.
Good: A good leader provides direction but may hold too much control, limiting distributor autonomy.
Great: A great leader empowers their distributor reps and field teams, providing clear KPIs, marketing tools, and incentives to ensure brand success at retail.
9. Accountability
Ensure distributors, retailers, and internal teams are all accountable for driving brand growth.
Good: A good leader holds themselves accountable but may struggle to enforce distributor sales execution or in-store retail standards.
Great: A great leader sets clear performance expectations for distributors, establishes sell-through goals at retail, and ensures internal teams track execution and adjust strategy when needed. Always Lead by Example.
10. Resilience
Demonstrate perseverance and problem-solving in the face of distribution challenges and market shifts.
Good: A good leader can handle setbacks but may get discouraged by out-of-stocks, lost retail placements, or distributor de-prioritization.
Great: A great leader finds creative solutions, builds stronger distributor relationships, and stays relentless in finding new opportunities to drive brand visibility and sales.
Final Thought
In the beverage industry, leadership is about navigating the complexities of the three-tier system, fostering strong distributor relationships, and ensuring retail execution through your teams. By mastering these ten competencies, you’ll elevate your leadership, strengthen partnerships, and accelerate your brand’s success.
Ready to Elevate Your Leadership?
At LTO Consulting, we specialize in helping suppliers build stronger distributor relationships, optimize go-to-market strategy, and enhance leadership skills. Whether you're launching a new brand, scaling an existing one, or refining your strategy, we provide the tools and insights you need to succeed.
Let’s work together to grow your brand and transform your leadership. Contact us today to learn how we can help you navigate the three-tier system with confidence.
