Chapter 11
Marketing Channels
By Boundless
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The primary purpose of any channel of distribution is to bridge the gap between the producer of a product and its user.
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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.
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Streamlining distribution involves the planning and efficient use of supply chain resources and may involve working with intermediaries.
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Brick-and-mortar and e-commerce are two main channels of business-to-consumer marketing.
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B2B channels are often the same as B2C channels, but typically there is a greater emphasis on personal touch.
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Business-to-government, consumer-to-consumer, and institutional markets are additional types of marketing channels.
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A customer can expect varying levels of service and product offerings at different consumer channels.
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To maximize sales, a company must carefully consider the fit between its products and the available distribution channels.
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Channel choice involves understanding the ultimate user and how they prefer to purchase merchandise.
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Product distribution intensity refers to the scale of the distribution network as well as the appropriate selection of location.
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Depending on customer needs, marketing channel strategies can utilize distribution centers or move products directly to a store.
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A marketing channel is a set of practices necessary to transfer the ownership of goods from producer to consumer.
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Channels perform better if a party is in charge, providing a level of leadership to coordinate goals and efforts.
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A channel partner is a company that partners with a manufacturer or producer to market and sell that company's products.
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The integration of marketing channels to varying degrees is known either as multi-channel or omni-channel retailing.
- Branding
- Packaging