... What is a Distribution Channel?
A set of interdependent
The paths of
ownership that goods
(intermediaries) involved O follow as they pass
in the process of making R from the producer to
a product or service
available for use or
consumption by the
consumer or business
4.01 Explain the nature of channels of distribution
... know what they’re doing and can often
perform tasks better and at lower costs
• Reduce exchange time – in other words faster
product delivery. Imagine if every
manufacturer delivered their products!
• Customers want convenience and variety.
• Resellers sell small quantities
Chapter 12 – Marketing Channels PPT
... Many channels functions are outsourced because of this
o Shipping companies tend to be very large, most companies would have much
higher shipping costs if they tried to handle shipping on their own
o Small companies cannot afford to hire salespeople, so they find a sales rep who
Chapter 12 Vocab - Brookville Local Schools
... The overall plan to get the right product to the firm’s customers, including decisions regarding
transportation, warehousing, inventory control, order processing, and the selection of the
marketing channels is called __________________________.
... – Producers can control quality and price, do not
have to pay for intermediaries, and can be close
to their customers
– Examples: Dell Computer, Mary Kay
PROMOTION and PHYSICAL DISTRIBUTION LECTURE Promotioni
... company to the consumer: purpose of market research is to identify new opportunities;
explore problems; refine marketing mix; study buyer behavior to enhance marketing
approach and products. Research design creates the plan for collecting and analyzing the
... suppliers, distributors and
customers who partner to improve
A demand chain orientation: start
with the needs of customers
MKT490 Green Marketing Introduction
... organizations, and events to create and maintain relationships that will satisfy individual and organizational
This Retail Marketing course will cover the sale of goods or merchandise in small or individual quantities to
the end user/consumer for direct consumption from a retailer who, ...
... bulk purchases into smaller units for resale to
7 functions of marketing
... customers is also involved.
Marketing information management
Getting the necessary information to make good sound business decisions.
Most of the information is obtained through marketing research.
How much to charge for goods and services in order to maximize profits.
Most pricing decisions ...
... Paid form of public presentation and expressive promotion of ideas
Aimed at masses
Manufacturer may determine what goes into advertisement
Pervasive and impersonal medium
... – Traders build their own infrastructure to sell
– Each trader involved in the process gets a certain
– Helps build up reach
– Lowers manufacturers cost
– May / may not promote your product exclusively
– Eg. Maruti Suzuki / Videocon / Lux
... Promote and sell the products they carry
Build assortments of goods for customers
Bulk-break goods for their customers
Offer warehouse services and often transport goods
Offer financing of purchases
What exactly is ÔPlaceÕ ?
... Marketing Channels
Sets of interdependent organisations involved
in making the product available (El Ansary)
... Businesses need to be price sensitive and look at
their competitors’ prices for the same products.
... existing and potential
• How and where do
customers prefer to buy the
• How important are factors
such as stock availability,
... A marketing intermediary that acts on behalf of the
buyer (retailer) or seller (manufacturer or
wholesaler), but who does not take ownership of the
A marketing intermediary that negotiates deals
between buyer and seller, but who does not take
ownership of the product
Economics Chapter 11
... – Generate consumer demand
– Consumer Sovereignty- consumer as
– Utility- ability to satisfy customer wants
... In order to achieve success all businesses
must get the marketing mix right. This
involves having the right product at the
right price in the right place using the right
Marketing Basics Notes
... Product Differentiation – a _____________ strategy that some firms use to distinguish their
products from those of competitors
Re-Positioning – marketer’s plan for _______________ consumers’ ______________ of a brand in
comparison to competing brands.
Advertising – and _________, non-personal form o ...
A marketing channel is a set of practices or activities necessary to transfer the ownership of goods from the point of production to the point of consumption. It is the way products and services get to the end-user, the consumer; and is also known as a distribution channel. A marketing channel is a useful tool for management, and is crucial to creating an effective and well-planned marketing strategy.Another less known form of the marketing channel is the Dual Distribution channel. This channel is a less traditional form that allows the manufacturer or wholesaler to reach the end-user by using more than one distribution channel. The producer can simultaneously reach the consumer through a direct market, such as a website, or sell to another company or retailer that will reach the consumer through another channel, i.e., a store. An example of this type of channel would be franchising.Roles of marketing channel in marketing strategies Links producers to buyers. Influences the firm's pricing strategy. Affecting product strategy through branding, policies, willingness to stock. Customizes profits, install, maintain, offer credit, etc.↑ ↑ ↑ ↑ 4.0 4.1