Channels of Distribution
Refers to the means used to get a product to the consumer
Channels of Distribution
Small local vendors, often owned by a sole proprietor
Independent Retailers
Trading vie the Internet
E-Commerce
What one must consider when products may be perishable
The Product
Agents or businesses that act as a middle person in the channel of distribution
Intermediaries
Small retail businesses that stock a limited range of everyday fast-moving consumer goods, such as beverages, confectionery, groceries, etc.
Convenience Store
Specialist machines that stock products for sale.
Vending Machines
What a business must consider when in local vs. large places.
The market
Direct Distribution
Zero-Level Distribution Channel
Retailers that have numerous outlets, such as H&M.
Multiple Retailers/Chain Stores
Enables customers to order products via the postal system.
Mail Order
What a business must consider when looking at how products move along the channels of distribution
The Time
One Intermediary being used to sell a manufacturer's products to consumers
One-Level Distribution Channel
Retailers that sell mainly foodstuffs and groceries.
Supermarkets
In reality most businesses use a range of channels to distribute their products.
Multi-Channel DIstribution Strategy
Government rules and regulations that prohibit the distribution of certain products.
Legal Constraints
Two intermediaries used to get products to consumers
Two-Level Distribution Channel
Huge outlets that stock a broad range of products, such as foodstuffs and consumer durables.
Hypermarkets/Superstores
Any indirect way to distribute products that does not involve retailers
Specialty Channels of Distribution
Aim to reduce _____ while increasing _____
Costs and Benefits