Chapter 11
Marketing Channels
By Boundless
The primary purpose of any channel of distribution is to bridge the gap between the producer of a product and its user.
There are basically 4 types of marketing channels: direct selling; selling through intermediaries; dual distribution; and reverse channels.
There are four bases for channel alternatives marketers consider after conducting three preliminary activities which help determine goals.
Intermediaries make it possible for a company to deliver its products to the end user without needing to own the whole supply chain.
Streamlining distribution involves the planning and efficient use of supply chain resources and may involve working with intermediaries.
Brick-and-mortar and e-commerce are two main channels of business-to-consumer marketing.
B2B channels are often the same as B2C channels, but typically there is a greater emphasis on personal touch.
Business-to-government, consumer-to-consumer, and institutional markets are additional types of marketing channels.
A customer can expect varying levels of service and product offerings at different consumer channels.
To maximize sales, a company must carefully consider the fit between its products and the available distribution channels.
Channel choice involves understanding the ultimate user and how they prefer to purchase merchandise.
Product distribution intensity refers to the scale of the distribution network as well as the appropriate selection of location.
Depending on customer needs, marketing channel strategies can utilize distribution centers or move products directly to a store.
A marketing channel is a set of practices necessary to transfer the ownership of goods from producer to consumer.
Channels perform better if a party is in charge, providing a level of leadership to coordinate goals and efforts.
A channel partner is a company that partners with a manufacturer or producer to market and sell that company's products.
The integration of marketing channels to varying degrees is known either as multi-channel or omni-channel retailing.
- Branding
- Packaging