Distribution (Place)

• What is the objective of distribution?


  To make goods or services avalible at the right time , to the right area in the correct quantity
• Distribution id strongly influenced by the nature of the target market segmentation

  A distribution channel moves a product through the stages from production to final consumption
• What are the main types of intermediary?

  Reatiler

  Wholesaler

  Distributor

  Agent
• What are the key decisions about what type of channel to use?

  Channel length - direct or indirect

  Choice of intermediary

  Use just one or several channels

  How to move the goods through the channel

  Control over the channel - who decides price
• Mult channel distribution involves a business using more than one type of distribution channel to reach customers
• What are the benefits of multi channel distribution?

  Allows more target market segments to be reached

  Enables higher revenues
• What are the drawbacks of multi channel distribution?

  Potential for channel conflict - competing with retailers by also selling direct

  Can be complex to manage