Channels of Distribution and Logistics

2) Explain the role of channel intermediaries in the product distribution process. Why is their role important?

Distribution channels are organized in several ways: conventional, vertical, horizontal and multichannel (Kern R. 2013). Some of these organizational methods are more structured than others. When a distribution channel deals with more than one independent producer, such as wholesalers and retailers, the channel is known as a conventional distribution channel. (Kern R. 2013) These channels are not normally known to be strong and typically don’t give the customer the quality of product that they deserve. In a vertical marketing system, the retailers, wholesalers and producers, join forces to create a unified front, promoting an individual product (Kern R. 2013). Vertical distribution channels are stronger than the conventional distribution channels because all of the companies involved carry some of the load of power. (Kern R. 2013) In a horizontal distribution channel, companies join up and combine all of their finances and resources, in order to take on more than one company or product (Kern R. 2013). A multichannel distribution channel is where a large corporation uses two or more marketing channels to better target their desired customer segments (Kern R.

As mentioned in an earlier assignment, there are three main types of distribution channels. The first is the channel that goes from the producer, then to the wholesaler, then to the retailer or sells to the consumer. The second channel starts with the producer who sells straight to the retailer, who then sells to the consumer. The third channel goes directly from the producer to the consumer. Channels one and two are classed as indirect marketing channels, whereas channel three is a direct marketing channel as it goes straight from producer to consumer.

Lamb et al. (2008) suggests that non-traditional channel provide a manufacturer serving a niche market with a means of gaining market access and customer attention without having to establish channel intermediaries. Again non-traditional channels can also provide another avenue of sales for larger firms.

4. She must be determining to expand the channels and able to supply to all distributor who are willing to pay for the commodity depends on the quality requirements paid for. And no single entity

This video discussed how to manage multiple marketing channels. The first step is to determine heals and budget. Then define channels to reach the goal. You need to have a channel strategy to make sure the brand is there for the right customers.

This task I am going explain the process of distributing goods through different channels from the manufacturer to the customers. The term distribution means the process of delivering, storing and selling goods, so that they can be used by customers. (Source- Intermediate Retail and Distribution, Delivering is about what types of transport which are used to carrying and delivering goods, the types of transport is going to be Rail, Road, Air, Water for example rivers, ocean cargo and canals and People. Storing is about where the goods are going to come from and where they are going to be stored. Selling is going to be where you are going to sell the goods

Conducting an overall market analysis helps determine the target demographic and demand for your products, as well as your competitors and their distribution channels . Because Clear-Springs, Inc. wanted to maximize its profits, it operates strictly using E-Commerce. An online channel is disruptive to the traditional ways of marketing and distribution. Online selling

A channel of distribution is a network of organisations that, combined, perform all the functions required to link producers with consumers. Retailers need to offer right product at the right place at the right time. If the product that a consumer wants is not available then 31% of consumers will buy from a different store, 26% will buy a different brand and 24% will delay their purchase, or not purchase at all.

Channels of distribution are important in term of getting to customer, warehouse management and distribution to

brd sponsorship: national (manufacturer) /private (reseller), licensing, co-branding. brd management ee – line extension en – brand extension ne – multibrands nn –new brands. brd communications experiences +touchpoints, brded entertainment.retail+wholesale upstream: raw material, downstream: marketing channels and customers. “sense-and-respond” view = demand chain. value delivery network: partners of suppliers,distributors,customers to improve system in delivering customer value. channel members value –information, promotion, contact, matching, negotiation fulfill ,physical distribution, financing, risk taking. channel lvls : direct v indirect flows: physical, ownership, payment, information, promotion. conventional dist’ channel: independents, profit-seeking vertical management system (prod, wholesale, retail as unified system) corporate: 1 owner contractual(franchise): independents joining together through contracts to obtain higher sales administered: coordinates through size of 1 power franchises: manu- or serv- spons retailer, manu-spons wholesaler horizontal ms: 2+ companies join together multichannel ds: firm sets 2+ m channels to reach 2+ cust seg disintermediation: removing intermediaries or displacement of resellers) m channel design: analyzing customer needs, setting channel obj, types+# of intermediaries (intensive, selective, exclusive), evaluating channel alt. (economic, control,

Any product or service in the marketplace utilizes distribution channels to reach its customers. Although the manufacturers and services providers can and do provide their goods and services directly, utilizing distribution channels multiplies the number of goods and services that reach the marketplace (Advameg, Inc, 2011). Therefore, distribution channels can increase market share and profit margins since these distribution channels help the company’s product reach its target segments and enter into new marketplaces (Advameg, Inc., 2011). As they enter into new regions, stores, and the like, manufacturers and service providers can capitalize on these channels and markets by cultivating

The customer’s needs, priorities and preferences influence the marketing mix compentants such that price should not be more or less than the recommended retail price. Channels of distribution include stores such as word of mouth, Advertisement and also pamphlets and internet as well.

Before spending additional resources on marketing the following alternatives should be considered: consumer perceptions, pricing strategies, identifying and gaining access to effective distribution channels and efficient use of its Web site

No matter how notable or useful a product is, if customers cannot purchase it, it has no value to the company (Ruskin-Brown, 2006). It is, therefore, essential for companies to offer customers multiple channels for purchasing their products. That means, customers should be able to purchase the products of their liking using their preferred method of shopping, be it in store, online, by phone, or by mail.