It is Watlow's objective to minimize multiple distributors duplicating sales efforts and expenses for the same customers, at the expense of valuable sales time that would be used to find additional customers.

Why not exclusive territories?

In many areas of the United States, multiple Watlow distributors co-exist with a minimum of conflict. It serves no practical purpose to define exclusive territories for each, because they respect each other's customer base and focus their efforts on the pursuit of entirely new customers for Watlow products.
In areas with considerable conflict, the tendency will be to define territories more and more exclusively until an acceptable level of customer coverage and service can be reached.

Won't territories be defined tighter & tighter as time goes on?

Watlow expects various distributor territories to both increase and decrease. Distributors with initiative and realistic growth plans consistent with Watlow's needs may have their defined territory expanded accordingly. Other distributors may be content with their current market niche, requiring Watlow to pursue additional distributor relationships to penetrate new markets. It is the distributor's responsibility, through on-going communications and performance, to identify the extent of their role selling Watlow products to various end markets.