Distribution. Marketing channels презентация

supply raw materials, components, parts, information, finances and expertise) and downstream (wholesalers and retailers) partners.
Value delivery network: the company, suppliers, distributors and customers who partner with each other to improve the performance of the entire system in delivering customer value.

product or service available for use or consumption by the consumer or business user.

marketing research information about actors and forces in the marketing environment;
Promotion: develop and spread persuasive communication;
Contact: find and communicate with prospective clients;
Matching: shape and fit the offer to buyers’ needs;

on price and other terms of the offer;
Physical distribution: transport and store the goods;
Financing: acquire and use funds to cover costs of the channel work;
Risk taking: assume the risk of carrying out the channel work;

in bringing the product and its ownership closer to the final buyer.
Several types of flows connect the members of the channel: physical, ownership, payment, information, promotion
Direct marketing channel: no intermediary levels;
Indirect marketing channel: with one or more intermediary levels;

must cooperate in order to deliver final customer value and satisfaction;
Disagreement over roles, goals and reward generate channel conflicts:
Horizontal – among firms at the same level
Vertical – between different levels

retailers, each a separate business seeking to maximise its own profit, even at the expense of profits for the system as a whole.

united way to accomplish the work of the channel.

Retailer

distribution under single ownership – channel leadership is established through common ownership.
Contractual VMS: independent companies at different levels of production and distribution join together through contracts to obtain more economies or sales impact.

(franchisor) links several stages in the production-distribution process.
Administered VMS: successive stages of production and distribution are coordinated through the size and the power of the parties.

at one level join together to follow a new marketing opportunity.
Competitors or noncompetitors combine financial, production or marketing resources to accomplish more that any company could do alone.

sets up two or more marketing channels to reach one or more customer segments.

producer or displacement of traditional resellers by radical new types of intermediaries.

objectives, identifying major channel alternatives and evaluate them.
Number of intermediaries:
Intensive distribution: stocking in as many outlets as possible;
Exclusive distribution: giving a limited number of dealers the exclusive right to distribute the company’s products in their territories;
Selective distribution: between the two options;

own sales force or through another firm’s sales force;
Intermediaries – wholesalers and retailers;

buying to resale or business activities;
Wholesaler: a company engaged primary in wholesaling activities;

to the merchandise it handles;
Broker: a wholesaler who doesn’t take title to the goods and whose function is to bring buyers and sellers together and assist in negotiation;
Agent: a wholesaler who represents buyers or sellers on a relatively permanent basis, performs only a few functions and does not take titles to goods;

to final consumers for their personal non-business use;
Retailer: a business whose sales come primarily from retailing;

with a deep assortment within the line
Department stores: wide variety of product lines operated as separate departments

grocery and household products;
Convenience store: small, local, open long hours, limited line, high turnover convenience goods;
Superstore: larger (than the supermarket), large assortment of routinely purchased food products, non-food items and services;
Service retailer

lower margins, higher volume
Off-price retailer – buys at less-than-wholesale price and sells at less-than-retailer price: independent, factory outlets, warehouse clubs
Organisational approach
Chain stores
Franchise

the physical flow of materials, final goods and related information from point of origin to points of consumption to meet customer requirements at a profit.
Supply chain management: managing upstream and downstream value-added flows of materials, final goods, and related information among suppliers, the company, resellers, and final consumer.

and customers.
Forecasting, building and maintaining information system, purchasing, planning, order processing, inventory, warehousing, transportation planning.

create opportunities for major gains in distribution efficiency;
Affects the company’s environment and environmental sustainability efforts;

be sold;
Distribution centres: large, highly automated warehouses designed to receive goods from various plants and suppliers, take orders, fill them efficiently, and deliver goods to customers as quickly as possible.