Marketing Channels
Autor: andrey • October 29, 2013 • Research Paper • 1,867 Words (8 Pages) • 1,321 Views
MARKETING CHANNEL DEFINITION
A marketing channel consists of individuals and firms involved in the process of making a product or service available for use or consumption by consumers or industrial users.
THREE FUNCTIONS PERFORMED – INTERMEDIARIES
(1) Transactional function, (2) Logistical function, and (3) Facilitating function
CHANNEL STRUCTURE & ORGANIZATION
‣ Marketing Channels for Consumer Goods and Services
‣ Direct channel
‣ Indirect channels
‣ Marketing Channels for Business Goods and Services
‣ Business distributor
‣ Electronic Marketing Channels
‣ Direct Marketing Channels
‣ Multiple Channels and Strategic Alliances
‣ Multichannel distribution
‣ Strategic channel alliances
MARKETING CHANNELS – CONSUMER GOODS & SERVICES
DIRECT & INDIRECT CHANNEL – DIFFERENCES
A direct channel is when a producer and ultimate consumers deal directly with each other. An indirect channel occurs when intermediaries are inserted between the producer and consumers, and numerous channel functions are performed
CORPORATE VERTICAL MARKETING SYSTEM VS. ADMINISTERED VERTICAL MARKETING SYSTEM
A corporate vertical marketing system is the single ownership of a combination of successive stages of production and distribution. Under an administered vertical marketing system, co-ordination is achieved at successive stages of product and distribution by the size and influence of one channel member rather than through ownership.
Factors Affecting Channel Choice and Management
‣ Environmental Factors
‣ Consumer Factors
‣ Product Factors
‣ Company Factors
‣ Channel Design Considerations
‣ Target Market Coverage
‣ Satisfying Buyer Requirements
‣ Profitability
‣ Global Dimensions of Marketing Channels
THREE DEGREES OF DISTRIBUTION DENSITY
1) Intensive distribution, (2)
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