Distribution channels.
A distribution channel is a chain of businesses through which a good or service passes until it reaches the final buyer or the end consumer.
Two stage, three stage, four stage:
Using the Marketing Mix: place.
A distribution channel is a chain of businesses through which a good or service passes until it reaches the final buyer or the end consumer.
Two stage, three stage, four stage:
Using the Marketing Mix: place.
This is the term given to distribution. The key marketing questions regarding place are:
Which types of outlets do we want to be distributed in? (newsagent, supermarket or Harrods?)
What level of distribution should we seek to achieve?
How are we to achieve that level?
Distribution targets are set to motivate the salesforce to obtain distribution in as high a percentage of target outlets as seems feasible.
This may be achieved by:
Offering high profit margins to retailers.
Heavy advertising in trade magazines.
Giving sales staff big incentives to work and sell hard.
Choosing appropriate outlets / distributors.
1.Online distribution:
Amazon is developing a number of distribution channels:
Full story here.
O2 outlets in Next stores:
2. Changing from a product to a service.
Product - CD.
Service - streaming or downloading.
Product - a DVD.
Service - channels that stram films that can viewed on a computer, phone or TV via the internet.
Product - a newspaper.
Service - news online.
Link to Ashbourne College Business Blog here.
Amazon is developing a number of distribution channels:
O2 outlets in Next stores:
2. Changing from a product to a service.
Product - CD.
Service - streaming or downloading.
Product - a DVD.
Service - channels that stram films that can viewed on a computer, phone or TV via the internet.
Product - a newspaper.
Service - news online.
Link to Ashbourne College Business Blog here.
